2) Calculate the values for government purchases (G), private domestic saving (S), and private domestic investment (I) from the following information (all variables are in billions of dollars).
national income Y = 5,200 budget deficit BuD = 150
disposable income YD = 4,400 trade deficit TD = 110
consumption C = 4,100© BrainMass Inc. brainmass.com March 4, 2021, 9:45 pm ad1c9bdddf
We can use this equation for the entire economy:
G − T = S − (I + NX),
We are given these values:
Sg (Government ...
Use of national income accounting equations