A country has national saving of $100 billion, government expenditures of $30 billion, domestic investment of $80 billion, and net capital outflow of $20 billion. What is its demand for loanable funds?
a. $60 billion
b. $70 billion
c. $100 billion
d. $120 billion
c
You might also like to view...
Refer to Figure 18-2. If the government imposes an excise tax of $1.00 on every unit sold, the producer's burden of the tax
A) is Pa - Pd under either supply curve. B) is Pa - Pd if the supply curve is S0 and Pb - Pe if the supply curve is S1. C) is Pc - Pd if the supply curve is S0 and Pc - Pe if the supply curve is S1. D) is Pb - Pe under either supply curve.
When the real exchange rate rises
A) imports measured in terms of domestic output will rise. B) imports measured in terms of domestic output will fall. C) imports measured in terms of domestic output will never be affected. D) imports measured in terms of domestic output may rise or fall. E) imports measured in terms of foreign output will rise.
Which of the following is true?
a. The stock market provides investors with an opportunity to own a fractional share of the firm's future profits. b. A new stock issue is often an excellent way for a firm to raise funds for future expansion. c. Changes in stock prices provide information about what investors think of various business decisions. d. All of the above are true.
If required reserves are $50 and deposits are $1000, what is the required reserve ratio?
What will be an ideal response?