Scenario 8-2. Assume the following information for an imaginary, closed economy.
GDP = $200,000; consumption = $120,000;
government purchases = $35,000; and taxes = $25,000.
-Refer to Scenario 8-2. For this economy, private saving is equal to
A) $40,000.
B) $50,000.
C) $55,000.
D) $60,000.

Question

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The Answer of Scenario 8-2. Assume the following information for an imaginary, closed economy.
GDP = $200,000; consumption = $120,000;
government purchases = $35,000; and taxes = $25,000.
-Refer to Scenario 8-2. For this economy, private saving is equal to
A) $40,000.
B) $50,000.
C) $55,000.
D) $60,000.