The equilibrium condition in the financial markets is
A) household saving equals investment spending.
B) household saving plus government saving minus net exports equals investment spending.
C) household saving plus government saving plus net exports equals investment spending.
D) government spending equals tax revenue.
Correct Answer:
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Q10: The market in which the real interest
Q11: In the model developed in the text,
Q12: The price of loanable funds is
A) the
Q13: If total saving increases,
A) the real interest
Q14: The circular flow principle guarantees that in
Q16: The equilibrium condition in the financial markets
Q17: The negative of net exports represents
A) the
Q18: If net exports are less than zero,
A)
Q19: If foreigners have more dollars than they
Q20: The terms (Y*-C-T), (T-G), and NX in
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