i need the answer quickly -: If at a paricular time the level of income in Saudi economy is SR 50,000 million andthe level of saving is SR 10,000 million (assuming consumption equal to SR 40,000 million at thislevel of income). What is the average propensity to save for the Saudi economy?

Average propensity to save meaning the proportion of income that is saved instead of spending in…

Answered: : If at a particular time the level of…

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter8: Savings,investment And The Financial System

Section: Chapter Questions

Problem 4PA

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#42. Suppose a closed economy had public saving of −$6 trillion and private saving of $15 trillion. What are national saving and investment for this country? a $21 trillion, $9 trillion b $9 trillion, $21 trillion c $9 trillion, $9 trillion d $21 trillion, $21 trillion
The table below shows aggregate values for a hypothetical economy. Suppose this economy has real GDP equal to potential output. Potential GDP $14 000 Government purchases $2100 Investment $300 Consumption $10 000 Net tax revenues $2000 Refering to the table above, what is th eprivate saving for this economy?
- If personal income taxes are increased, disposable income and consumption increase. stay the same. decrease. change in an unpredictable direction
Write out the equation for desired national savings. What changesto desired national saving and desired national consumption happen whengovernment spending increases, funded by an increase in taxes? Why doesconsumption change by less than G?
Consider an economy described by the following equations: Y = C + I + G AND, Y = 20,000; G = 4,000; T = 4,000; C = 1000 + 0.80(Y − T); : I= 2,500 – 120r. national saving AND the equilibrium real interest rate equal: Select one: a. national saving 2200 AND the equilibrium real interest rate 2.5%. b. national saving 2500,AND the equilibrium real interest rate 2%. c. national saving 4000 AND the equilibrium real interest rate 1.5%. d. national saving 3200 AND the equilibrium real interest rate 2.5%.
explain both in words and diagrammatically how the following government policy affect the economy’s saving and investment. Policy 1: Suppose the government passed a tax reform giving an investment tax credit to any firm building a new factory or buying a new piece of equipment.

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: If at a particular time the level of income in Saudi economy is SR 50,000 million and the level of saving is SR 10,000 million (assuming consumption equa! to SR 40,000 million at this level of income). What is the average propensity to save for the Saudi economy?