Consider the foliowing information on an economy in billion dollar. The GDP growth rate in 2021 over 2020 is 2.5%. What is the growth rate government spending on goods and services in 2021? Your answer should be in percent and rounded to 1 decimal places (for example, put down 2.2 as your answer if the growth rate that you calculated is 2.2312%) Year 2020 Year 2021 Growth Rate over 2020 Household consumption 8 5.00% Gross private investment -10.00% Government spending on goods and services Capital depreciation 7. 27.00% Exports 4.00% Imports 0.00%

Consider the foliowing information on an economy in billion dollar. The GDP growth rate in 2021 over 2020 is 2.5%. What is the growth rate government spending on goods and services in 2021? Your answer should be in percent and rounded to 1 decimal places (for example, put down 2.2 as your answer if the growth rate that you calculated is 2.2312%) Year 2020 Year 2021 Growth Rate over 2020 Household consumption 8 5.00% Gross private investment -10.00% Government spending on goods and services Capital depreciation 7. 27.00% Exports 4.00% Imports 0.00%

MACROECONOMICS

14th Edition

ISBN:9781337794985

Author:Baumol

Publisher:Baumol

Chapter11: Managing Aggregate Demand: Fiscal Policy

Section: Chapter Questions

Problem 1DQ

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