Suppose that the economy is in equilibrium with the government budget in deficit and with exports greater than imports.According to the circular flow model,
A)saving must exceed investment
B)saving must equal investment
C)saving must be less than investment
D)saving could be equal to or less than investment
E)it is impossible to determine anything about saving and investment using the given information

Question

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The Answer of Suppose that the economy is in equilibrium with the government budget in deficit and with exports greater than imports.According to the circular flow model,
A)saving must exceed investment
B)saving must equal investment
C)saving must be less than investment
D)saving could be equal to or less than investment
E)it is impossible to determine anything about saving and investment using the given information

Suppose That the Economy Is in Equilibrium with the Government