In an economy with three sectors (household, business, and government), government spending is $5 billion, taxes are $4 billion, and investment is $4 billion. If the economy is in equilibrium, then saving is
A) $1 billion.
B) $4 billion.
C) $5 billion.
D) $9 billion.

Question

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The Answer of In an economy with three sectors (household, business, and government), government spending is $5 billion, taxes are $4 billion, and investment is $4 billion. If the economy is in equilibrium, then saving is
A) $1 billion.
B) $4 billion.
C) $5 billion.
D) $9 billion.

In an Economy with Three Sectors (Household, Business, and Government)