Government purchases-national saving and investment

Assignment Help Business Economics
Reference no: EM13817315

Suppose GDP is $8 trillion, taxes are $1.5 trillion, private saving is $0.5 tirllion and public saving is $0.2 trillion. Assuming this economy is closed, calculate consumption, government purchases, national saving, and investment.

Reference no: EM13817315

Questions Cloud

Monetary value on this utility increase : A young connoisseur has $600 to spend to build a small wine cellar. She enjoys two vintages in particular: a 2001 French Bordeaux (wf) at $40 per bottle and a less expensive 2005 California varietal wine (wc) priced at $8. If her utility is U(wf, wc)..
Consider the difference between presenting information : Consider the difference between presenting information in a face-to-face environment versus an online environment. Search the Internet for two different videos of people presenting information in a face-to-face environment.
Describe a time in which the company faced a major crisis : YMCA and Tesla: 1. Competitiveness. How does the company compare to its main competitors? Consider both domestic and local markets. 2. What obstacles does the company face in its sector, and does the company have any innovative approaches to overcomi..
Improve economic growth-reduce unemployment : What macro policy tools would you use or favor in order to improve economic growth, reduce unemployment, and avoid price inflation right now in 2015 in the US?
Government purchases-national saving and investment : Suppose GDP is $8 trillion, taxes are $1.5 trillion, private saving is $0.5 tirllion and public saving is $0.2 trillion. Assuming this economy is closed, calculate consumption, government purchases, national saving, and investment.
About the utility : Each day Paul, who is in third grade, eats lunch at school. He likes only twinikies (t) and soda (s), and these provide him a utility of utility = U(t,s)=(ts)^1/2.  If twinkies cost $0.10 each and soda costs $0.25 per cup, how should paul spend the $..
Increasing and decreasing marginal utility : Show that each of these has a diminishing MRS but that they exhibit constant, increasing, and decreasing marginal utility, respectively. What do you conclude?
Marginal damage and the marginal abatement cost : Suppose a chemical factory discharges waste products into a river resulting in significant damages to a local fishery. The marginal damage and the marginal abatement cost (MAC) are given by: What level of emissions will occur if the chemical factory ..
Firms in an industry with marginal abatement cost curves : With the following condition: UxxUx^2-2UxyYxUy+uyyUy^2

Reviews

Write a Review

Business Economics Questions & Answers

  Use a transferable emission permit scheme

If the regulator wants to use a transferable emission permit scheme to achieve industry abatement of 50%: How many permits will it need to issue? If each firm receives one -half of the permits at no charge initially, explain what permit trading will ..

  A decrease in the wage rate

A decrease in the wage rate

  Between patents and copyrights which reflects a free market

between patents and copyrights which reflects a free market and which is a grant of monopoly privilege by the state?

  What is the total debt of the government at the end of year

A government starts off with a total debt of $3.5 billion. In year one, the government runs a deficit of $400 million. In year two, the government runs a deficit of $1 billion. In year three, the government runs a surplus of $200 million. What is the..

  Context of the basic market model we reviewed in class

Of the following, three mean the same thing and one means something different. Which option does not mean the same thing as the other three in the context of the basic market model we reviewed in class (and that you learned about in principles of mic..

  What must be true about the price elasticity of demand

What must be true about the price elasticity of demand if your proposal is to achieve its goal of raising revenue? Explain your answer.

  Sable monopoly traps hard currency-coats capitalists

The World View article "Foxy Soviets Pelt the West: Sable Monopoly Traps Hard Currency, Coats Capitalists" provides evidence that

  What happens to the interest rate and investment in response

Suppose that the government increases taxes and government purchases by equal amounts. What happens to the interest rate and investment in response to this balanced-budget change? Does your answer depend on marginal propensity to consume?

  The convergence of healthcare financing and economic

The Convergence of Healthcare Financing and Economic Trends and Forces  Note: Use the textbook, course readings, Strayer online library, and other reputable online sources to complete this assignment.  Prepare a fifteen to twenty (15 to 20) slide Mi..

  Q demand can be predicted with experimental data

q. demand can be predicted with experimental data cross-section data or time-series data. in this case cross-section

  What is the equilibrium number

What is the market equilibrium cost. What is the equilibrium number of firms in the market.

  What are the four stages of the business cycle

What are the four stages of the business cycle? In which stage do you believe the U.S economy is now? Why? What is the gross domestic product? What is its relationship to productivity? What are the effects of inflation on an economy? What are the eff..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd