Suppose, the GDP of an economy is $1220 billion, gross investment (I) is $300 billion, consumption expenditure (C) is $800 billion and government expenditure (G) is $100 billion. The economy's net export (NX) is:

Question

Quizplus · Accepted Answer

GDP = C + I + G + NX. Substituting the given values: $1220 billion = $800 billion + $300 billion + $100 billion + NX. Solving for NX gives NX = $20 billion.

Suppose, the GDP of an Economy Is $1220 Billion, Gross