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Answer ASAP Preamble for Questions 1-8. Consider a fish/fishing rod economy, with Crusoe and Friday the entire population. The local currency is the dollar, and

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Preamble for Questions 1-8. Consider a fish/fishing rod economy, with Crusoe and Friday the entire population. The local currency is the dollar, and the prices of a fish and a fishing rod are $5 and $25 respectively. Over the year Friday spends all his time making fishing rods for himself, Crusoe all his time fishing (by tickling them). Over the year Friday successfully completes 40 fishing rods (which Friday keeps) and Crusoe catches 200 fish (of which he eats 45). Friday borrows 60 fish from Crusoe and eats those over the year; he will repay Crusoe with 75 fish next year. They form a government to which each contributes $x in taxes, where x is some number; the government buys 30 fish from Crusoe to feed to the governmental hound, Banga. Any fish that Crusoe catches that he does not eat, lend to Friday or sell to the government, he sells to a neighbouring island (i.e. abroad). Your answers to questions 1-8 should just be numbers, i.e. should not feature x.4. What are national savings 5 2 SP + 89? [Your answer should just be a number, i.e. should not feature 93.] 5. What is the real interest rate in this economy? [If you think the answer is 50%, write 50 and not 0.5.] 6. Suppose government savings 39 are equal to $250. What are Friday's individual private savings equal to

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