A country has domestic investment of $200 billion. Its citizens purchase $600 of foreign assets and foreign citizens purchase $300 of its assets. What is national saving?

a. $400 billion
b. $500 billion
c. $600 billion
d. $800 billion


b

Economics

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If the demand for one good decreases when the price of another good decreases, the two goods are ________ goods.

A. normal B. inferior C. complementary D. substitute

Economics

The relationship in the above figure suggests that when the interest rate is 5 percent

A) a decrease in income will be associated with a decrease in expenditures. B) a decrease in income will be associated with an increase in expenditures. C) an increase in income will be associated with a decrease in expenditures. D) there is no relationship between expenditures and income.

Economics

Consider a monopolistically competitive industry which is in long-run equilibrium. Which of the following is TRUE?

A) All firms charge a price equal to average total cost. B) All firms charge a price equal to marginal cost. C) All firms earn positive economic profit. D) Demand, average total cost, and marginal cost all intersect.

Economics

What is a criticism of the CPI?

Economics