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25.02.2020 •
Business
Suppose GDP is $8 trillion, taxes are $1.5 trillion, private saving is $0.5 trillion, and public saving is $0.2 trillion. Assuming this economy is closed, calculate consumption, government purchases, national saving, and investment.
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Ответ:
Consumption = $6 trillion
government purchases = $1.3 trillion
national saving = $0.7 trillion and
investment = $0.7 trillion
Explanation:GDP is the market value of all final goods and services within an economy during a given period.
GDP = Consumption + Investment/National Savings + Government Expenditure/purchases (in a closed economy)
National Savings/ Investment = Private saving + public saving = $0.5 trillion +$ 0.2 trillion = $0.7 trillion.
Government purchases = Taxes - Public saving = $1.5 trillion - $0.2 trillion = $1.3 trillion
Since, GDP = Consumption + Investment/National Savings + Government Expenditure/purchases (in a closed economy)
Therefore, Consumption = GDP - Investment - Government Expenditure
Consumption = $8trillion - $0.7trillion - $1.3trillion = $6 trillion
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