Asked by
Samuel Yankuba
on Nov 16, 2024Verified
In an open economy, gross domestic product equals $2,460 billion, consumption expenditure equals $1,435 billion, government expenditure equals $325 billion, investment equals $560 billion, and net capital outflow equals $375 billion. What is national saving?
A) $1,260 billion
B) $2,135 billion
C) $935 billion
D) $1,900 billion
Gross Domestic Product
The total monetary or market value of all the finished goods and services produced within a country's borders in a specific time period.
National Saving
The sum of private and public savings, representing the total saving in an economy.
Net Capital Outflow
The net flow of funds being invested abroad by a country during a certain period of time, accounting for money invested domestically by foreign entities.
- Comprehend the principles of saving and investment, and their influence on a nation's trade balance.
Verified Answer
AT
Learning Objectives
- Comprehend the principles of saving and investment, and their influence on a nation's trade balance.