The following are selected items in millions of Namibia Dollar) from the national accounts of the economy of Namibia for a given year.

Wage 500

Social security contribution 200

Employer's contribution to their employees' medical scheme200

Proprietor's income 120

Corporate profits 420

Rental income 80

Food for work 50

Retirement scheme 100

Housing scheme 50

Interest paid by individuals on funds they borrowed from private financial institutions. 10

Interest income of individuals derived from domestic financial in the private sector 240

Net interest income of individuals from the government 100

Indirect taxes 40

Personal income taxes 70

Subsidies by government to producers 10

Depreciation allowed to the intermediate sector 60

Government purchase (G) 300

Budget surplus (BS) 100

National Saving (S) 500

Investment (I) 300

Use appropriate definitions and macroeconomics identities to determine the values of the following additional items from the information provided.

GNP (5)

Private disposable income (4)

Current Account (CA) (2)

Aggregate consumption (C) (3)

Private saving (2)

Use appropriate diagram, discuss and explain the force which will lead the economy to a stable equilibrium, if thefollowing conditions are prevailing:

Economy operating below full employment (7)

Economy operating above full employment (7)

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