1. You are given the data below for 2008 for the imaginary country of Amagre, whose currency is the G.

• Consumption 350 billion G
• Transfer payments 100 billion G
• Investment 100 billion G
• Government purchases 200 billion G
• Exports 50 billion G
• Imports 150 billion G
• Bond purchases 200 billion G
• Earnings on foreign investments 75 billion G
• Foreign earnings on Amagre investment 25 billion G

1. Compute net foreign investment.
2. Compute net exports.
3. Compute GDP.
4. Compute GNP.

In addition to responding with a quantitative answer, briefly describe how you arrived at your answers.

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QUESTION TWO 

The Nottinghamshire Research Observatory in England calculated that students who attend Nottingham Technical University spend about 2,760 each in the local economy for a total of 50.45 million. In total, the impact of their spending on the local economy is 63 million. Calculate the size of the student spending multiplier