Answered: Valeria is a closed economy, where…

Valeria is a closed economy, where consumption totals $3 billion, tax payments are $300 million, government spending is $1 billion, and GDP is $5 billion. Private saving amounts to

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter7: Macroeconomic Measurements, Part Ii: Gdp And Real Gdp

Section: Chapter Questions

Problem 7WNG

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Question

Valeria is a closed economy, where consumption
totals $3 billion, tax payments are $300 million,
government spending is $1 billion, and GDP is $5
billion. Private saving amounts to

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If consumption expenditures are $1800 million, gross investment is $450 million, imports are $350 million, exports are $180 million, government expenditure on goods and services is $120 million, and government transfer payments are $180 million and net taxes are $250 million; d) How much is the disposable income? e) Calculate the national savings.
During recessions which type of spending falls?a. consumption and investmentb. investment but not consumptionc. consumption but not investmentd. neither consumption nor investment
Calculate the following Consumption = ? Suppose GDP is $8 trillion, taxes are $1.5 trillion, private saving is $0.5 trillion, and public saving is $0.2 trillion.
a. Fill in the missing numbers in the table. b. What is the break-even level of income in the table? What is the term that economist use for the saving situation shown at the $240 level income? c. For each of the following items, indicate whether the value in the table is either constant or variable as income changes: the MPS, the APC, the MPC, the APS. Level of Output and Income (GDP=DI) Consumption Savings APC APS MPC MPS $240 $ $-4 $260 $0 $280 $4 $300 $8 $320 $12 $340 $16 $360 $20 $380 $24 $400 $28