Suppose that GDP is $8 billion, taxes are $1.5 billion, private saving is $0.5 billion, and  public saving is 0.2 billion. Assuming the economy is closed, calculate the size of: (i) Consumption  (ii) Investment  (iii) Government Spending

Q: A man deposits Php 6,000 in a strange bank that promises 1.5% simple growth interest for 'w' years. ...

A: Given: Amount deposited=Php 6000 Simple interest growth=1.5%  

Q: 1. A very famous restaurant bought a meat processor 10 years ago for $50K. Its current book value st...

A: Price of meat processor = $50k Current value = $10k Offer value = $60k Income tax on business income...

Q: Sarah, Alicia, and Philip all lost their jobs when the technology start-up they worked for was acqui...

A: Concepts: Labor force: Labor force is consist of employed workers as well as unemployed workers who...

Q: What were Milton Friedman economic theory’s general principles and who did he advise? Could you also...

A: Milton Friedman was a Nobel Peace Prize winner and an American economist. He created a number of eco...

Q: Average Product 13 Labor Total Product 1 13 31 15.5 51 17 4 67 16.75 79 15.8 6. 86 14.33 7 86 12.29 ...

A: Profit maximization is a process that companies go through to ensure that they have the highest pote...

Q: How national income can be measured in economics? Explain briefly:

A:

Q: A) The town of Dimmsdale is a popular tourist destination. The problem is, the tourists are not alwa...

A: Market demand : Qd = 700 - 5p  => p = 140 - Q/5  Marginal Cost = 50  Optimal condition for number...

Q: According to Karl Marx, those in charge of the state incapitalist societies make decisions that serv...

A: Karl Marx was the well-known economists due to his contribution to t he history of economics and the...

Q: Countries will be net of products when they have a(n) -_ of resources? exporters, abundance )importe...

A: Net export is the value of total exports minus the value of total imports. The export is the number ...

Q: hetical payoff matrices show the profits (in millions of dollars) for each company. In the absence o...

A: All answers given below,

Q: Given: Qd =– 9P + 2,557 Qs = P – 75

A: Equilibrium is defined as a position where the economy reaches a stable state. The forces of demand ...

Q: St. George's must invest in new piers to entice ships to enter the port. They estimate that it will ...

A: Answer -

Q: Under what conditions do the following production functions exhibit decreasing, constant, or increas...

A: In a market, the production function represents the nature of the input resources in terms of their ...

Q: True or False? In the presence of a positive externality, a Pigouvian subsidy results in less consu...

A: Positive externality refers to the situation when the action of an individual contributes positively...

Q: Country A bans imports of country B beef. What type of poilic was this ban and what economic reasons...

A: Introduction Beef industry play an important role in economic output and contribution in any economy...

Q: Kayla is a speculator in the market for a rare French goat cheese known as Crottin de Chavignol. She...

A: A futures contract is a non-physically resolved exchange-traded contract. Delivery is not possible b...

Q: 1. Explain the considerations that can modify and individuals demand for urban transportation. Some ...

A: 1 Demand of the transportation depends on the necessity and how much the consumers are willing to de...

Q: The perfectly competitive firm in the market for blueberries is in long run equilibrium. Suddenly co...

A: In the long run, a competitive firm produces output where P= min ATC, where is a decrease in price i...

Q: (9) Suppose the market for tennis shoes has one dominant firm and five fringe firms. The market dema...

A: a.Fringe firms marginal cost is:P=MC=20+5qP=20+5q5q=P-20q=P-205Now,There are five Fringe firms:q=P-2...

Q: 3. Break-Even Point moldon9 A perfectly competitive firm has this long-run total cost function: ito ...

A: Break even point occurs when total revenue is equal to total cost. TR = TC P*Q = TC ..... (1) Now, d...

Q: What are the purpose of individual enterepreneur? What are the few advantage or merits of individual...

A:

Q: What is called state enterprise and why it is important for the consumers/what are its merits?

A:

Q: How are Milton Friedman’s economic theories applied?

A: Milton Friedman is widely considered to be one of the most important economists and political philos...

Q: From 1970 to 2020, real per capita gross domestic product (GDP) in the United States increased by an...

A: Real GDP per capita is calculated by dividing a country's total economic output by its population an...

Q: 2. How long will it take $500 to reach $10,000 when it grows at 8 percent per year?

A: Here the future worth of amount is already given and the initial investment which will grows 8% per ...

Q: Consider the five investment alternatives described below. Which alternatives can be eliminated from...

A: Dear learner you have posted multiple questions, as per our policy we have solved only first questio...

Q: Suppose that • y =100 (income today) y' = 150 (income tomorrow) • r = 10% (interest rate on bonds) •...

A: Answer -

Q: What are the fundamental problems and issues facing an economy in general?

A:

Q: 10.5 (LG 10.4) The following data are available for two mutually exclusive projects: Project A Proje...

A: [a]Benefit/ cost ratio:-Benefit = Project A = 17,000,000  Project B = 17,000,000Cost = Project A = 5...

Q: An investment of $100,000 in safe 10-year corporate bonds yields an average of 9% per year, payable ...

A: The correct answer is given in the second step .

Q: Ty, George, Joe, and Ted are potential buyers of a rare Ho ill buy either one card or zero cards. Ty...

A: Answer given below,

Q: A developing country does not have enough taxes to cover its expenditures and is unable to borrow. T...

A: The economies around the globe are involved in the use of the limited amount of resources in the mos...

Q: 01

A: There are three stages of production,and they are important for businesses to understand and analyze...

Q: In country Superland, its real GDP grows by 5% per year and its money stock grows by 12%, the veloci...

A: "According to the quantity theory of money, if velocity of money is constant then inflation rate is ...

Q: Interpret with five assumptions of the Ricardian Trade Model and illustrate it with an example how i...

A: The core concept is comparative advantage: it is unimportant for commerce if one nation is more prod...

Q: Who currently favors Milton Friedman’s theories currently?

A: Answer -

Q: Is Canada in a recessionary gap or inflationary gap right now? and how could you tell?

A: GDP and price level are determined when aggregate demand and aggregate supply intersect each other. ...

Q: ch of the following situations best exemplifies a relation results from one country's concentration ...

A: Compartive advantage alludes to the capacity of involved with produce a specific decent or administr...

Q: 1. On the graph below, show a price ceilling at $3. a. Illustrate and identify the resulting XS supp...

A: "As per the guidelines answer is given to the first question" 1) "Price ceiling is a limit on price ...

Q: What is the Bank Leverage Ratio? If a bank has leverage ratio of 20, what will be the change in its ...

A: Bank Leverage Ratio The bank leverage ratio is the ratio through which a bank measures the amount of...

Q: A loan of P200,000 was to be paid monthly for 1 year at an interest rate of 18 % compounded continuo...

A: Given that; Loan amount =P200000 Term =1 year Interest rate=18% 1st payment is made at the end of 4t...

Q: Savings, Investment, and Deficits Suppose a country has a closed economy, and at first it has the fo...

A: Real GDP (Y) = 800 Consumption (C) = 560 Government Spending (G) =120 C =c0  + C1(Y-T) Given the for...

Q: A person deposits P10,000 each year for 9 years. He then withdraws annually from the bank P5,000 for...

A: A cash flow diagram graphically illustrate the timing and type of cash flows, such as inflows and ou...

Q: What happens to the market for loanable funds when interest rates increase? Planned investments incr...

A: Answer: An increase in the interest rate will lead to a decrease in the quantity demanded of loanabl...

Q: Who did John Maynard Keynes advise with his economic theory?

A: The macroeconomic economic theory of total expenditure in the economy and its consequences on output...

Q: A) The town of Dimmsdale is a popular tourist destination. The problem is, the tourists are not alwa...

A: Market demand : Qd = 700 - 5p  => p = 140 - Q/5  Marginal Cost = 50  Optimal condition for number...

Q: What are “Adam Smith’s laws of the market” What does Adam Smith think is behind the economy/market? ...

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for yo...

Q: Explain the inductive and detective methods of economics not more than 300 words. 100 to 150 words e...

A:

Q: Find the Total Market Sales using the information above: Number Find the Total Sales for the Top 4 f...

A: A market is a physical location that facilitates the exchange of goods and services between customer...

Q: TR= 20L0.25 K0.5, while L is labor and K is capital used per day. The cost of labor is $10 per day a...

A: Hi! Thank you for the question As per the honor code, We’ll answer the first question since the exac...

Public Saving

Public saving deals with the amount which has been in excess after meeting all the obligatory expenses and investment of the government. Taxes are collected by the government to meet its day-to-day expenditures. The obligatory expenses include all those expenses which are mandatory for the government. It cannot be avoided as it is inevitable.