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Principles of Economics Assignment | Homework For You

Task: 1. Consider a closed economy in which GDP equals $20 billion, consumption equals $13 billion, government purchases equal $3 billon and tax revenue equals $1 billion. Use this information to answer the following questions: (3 marks) a. What is private savings equal to in this economy? (0.5 mark) b. What is public savings equal to in this economy? (0.5 mark) c. How would the …

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