Consider a closed economy in which I = $20, 000, 000, 000, G = $45,000, 000, 000, Y = $100, 000, 000, 000, and T = $30, 000, 000, 000. 1. What is total saving, S? (A) -$30 billion. (B) $35 billion. (C) -$15 billion. (D) $20 billion.

Microeconomics A Contemporary Intro
10th Edition
ISBN:9781285635101
Author:MCEACHERN
Publisher:MCEACHERN
Chapter13: Capital, Interest, Entrepreneurship, And Corporate Finance
Section: Chapter Questions
Problem 1QFR
icon
Related questions
Question
The next three questions involve the following situation.
Consider a closed economy in which I
$100, 000, 000, 000, and T = $30, 000, 000, 000.
$20, 000, 000, 000, G = $45, 000, 000, 000, Y =
1. What is total saving, S?
(A) -$30 billion.
(B) $35 billion.
(C) -$15 billion.
(D) $20 billion.
2. What is consumption?
(A) $15 billion.
(B) $35 billion.
(C) -$15 billion.
(D) -$35 billion.
3. What is private saving?
(A) $15 billion.
(B) $35 billion.
(C) -$15 billion.
(D) -$35 billion.
4. Which of the following assets performs best in times of demand-pull inflation?
(A) Gold.
(B) Agricultural real estate.
(C) Stocks.
(D) Bonds.
Transcribed Image Text:The next three questions involve the following situation. Consider a closed economy in which I $100, 000, 000, 000, and T = $30, 000, 000, 000. $20, 000, 000, 000, G = $45, 000, 000, 000, Y = 1. What is total saving, S? (A) -$30 billion. (B) $35 billion. (C) -$15 billion. (D) $20 billion. 2. What is consumption? (A) $15 billion. (B) $35 billion. (C) -$15 billion. (D) -$35 billion. 3. What is private saving? (A) $15 billion. (B) $35 billion. (C) -$15 billion. (D) -$35 billion. 4. Which of the following assets performs best in times of demand-pull inflation? (A) Gold. (B) Agricultural real estate. (C) Stocks. (D) Bonds.
Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Consumption Schedule
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Microeconomics A Contemporary Intro
Microeconomics A Contemporary Intro
Economics
ISBN:
9781285635101
Author:
MCEACHERN
Publisher:
Cengage
Essentials of Economics (MindTap Course List)
Essentials of Economics (MindTap Course List)
Economics
ISBN:
9781337091992
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Brief Principles of Macroeconomics (MindTap Cours…
Brief Principles of Macroeconomics (MindTap Cours…
Economics
ISBN:
9781337091985
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Principles of Macroeconomics (MindTap Course List)
Principles of Macroeconomics (MindTap Course List)
Economics
ISBN:
9781305971509
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Principles of Macroeconomics (MindTap Course List)
Principles of Macroeconomics (MindTap Course List)
Economics
ISBN:
9781285165912
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Economics Today and Tomorrow, Student Edition
Economics Today and Tomorrow, Student Edition
Economics
ISBN:
9780078747663
Author:
McGraw-Hill
Publisher:
Glencoe/McGraw-Hill School Pub Co