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Plese type instead of hand-writing 11. Consider the identity SP - I = CA + D, where SP is private sector saving, I is investment,

Plese type instead of hand-writing

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11. Consider the identity SP - I = CA + D, where SP is private sector saving, I is investment, CA is the current account surplus, and D is the government deficit. (a) Show that the above identity holds. (b) Explain what the above identity means.15. Suppose that the participation rate is 8%, the labor force is 100 million, and the number of employed workers is 90 million. Determine (i) the number of unemployed workers; (ii) the un- employment rate; (iii) the employment rate; and (iv) the total working-age population

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