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2) Define net taxes as taxes - transfers. If national saving is $100,000, net taxes equal $100,000 and government expenditure (G) is $25,000, how much
2) Define net taxes as taxes - transfers. If national saving is $100,000, net taxes equal $100,000 and government expenditure (G) is $25,000, how much are households and businesses saving? why? A $25,000. B) $225,000. C) -$25,000. D) none of the above Millions of Item dollars Personal consumption 80 expenditure Government expenditure on 30 goods and services Net taxes 35 Gross private domestic 20 investment Imports of goods and services 10 Exports of goods and services 20 3) Use the information in the table above to calculate the value of household saving. WHY A) -$15 million B) $40 million C $25 million D) $20 million
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