Suppose the following information describes the economy: Private saving equals ____and national saving equals ____.

Question

Suppose the following information describes the economy:  Private saving equals ____and national saving equals ____.

Quizplus · Accepted Answer

National income is consumption (8,000) plus investment (1,000) plus government purchases (1,000), which equals 10,000. Private saving is national income (10,000) minus consumption (8,000) minus net taxes (1,200), which equals 800. Public saving is net taxes (1,200) minus government purchases (1,000), which equals 200. National saving is private saving plus public saving, which is 1,000.
118 Suppose the following information describes the economy: 11ea6818_1f19_f549_b611_0b0b24754207_TB6753_00 Private saving equals ____and public saving equals ____.
A. 500; -1,500
B. 1,000; 1,000
C. 4,500; 1,000
D. 4,500; 0

Suppose the Following Information Describes the Economy: Private Saving