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Suppose output is $35 billion, government purchases are $10 billion, consumption is $15 billion, and

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Suppose output is $35 billion, government purchases are $10 billion, consumption is $15 billion, and

Suppose output is $35 billion, government purchases are $10 billion, consumption is $15 billion, and net exports are $4 billion. Assume net factor payments equal 0.
(a)   Calculate the equilibrium amount of investment. Show your work.
(b)   Calculate the equilibrium amount of absorption. Show your work.
(c)   Calculate the equilibrium amount of the capital and financial account balance. Show your work.

Textbook

Macroeconomics

Edition: 8^th

Authors: Abel, Bernanke, Croushore

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johnpaul92 Author

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Appreciate your help, thank you again

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supaman

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Glad to be part of your success Wink Face

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Eric M.

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cool

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