Question
In an open economy, (a) If GDP = $1,000, government expenditure = $250, consumption = $500, net exports = $100 and the budget deficit =
In an open economy,
(a) If GDP = $1,000, government expenditure = $250, consumption = $500, net
exports = $100 and the budget deficit = $40, what is the value of disposal income?
(b) If GDP = $500, consumption = $350, transfer - taxes = $20, investment = $150
and the budget deficit = $120, what is the value of net exports?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Macroeconomics A European Perspective
Authors: Olivier Blanchard, Alessia Amighini, Francesco Giavazzi
4th Edition
1292360895, 9781292360898
