Reference no: EM132936976
Assume the information below to answer the following questions about the land of POGO. Assume a 2% interest rate on all interest-bearing Pogo assets (assets issued by Pogo), and a 5% interest rate on Foreign assets (issued by Foreign). All figures below are listed in 'Pogo' dollars. B = Billion. RECORD YOUR ANSWERS ON BLACKBOARD WITHOUT THE DOLLAR SIGN OR B, and without a lot of zeros. In other words, 140 represents $140B.
- POGO CONSUMER EXPENDITURES, 2020: $230B
- POGO INVESTMENT EXPENDITURES, 2020: $112B
- POGO GOVERNMENT EXPENDITURES, 2020: $25B
- TAXES COLLECTED BY THE POGO GOVERNMENT: $18B
- MERCHANDISE EXPORTS, GOODS & SERVICES TO FOREIGN, 2020: $45B
- MERCHANDISE IMPORTS, GOODS & SERVICES FROM FOREIGN, 2020: $15B
- POGO LABOR INCOME FROM ABROAD, 2020: $2B
- INCOME PAID TO FOREIGNERS WORKING IN POGO, 2020: $18B
- FOREIGN ASSETS OWNED BY PRIVATE CITIZENS OF POGO, START of 2020: $60B
- POGO ASSETS OWNED BY PRIVATE CITIZENS IN FOREIGN AT THE START of 2020: $50B
- RESERVES OF FOREIGN NON-INTEREST BEARING ASSETS HELD BY THE CENTRAL BANK OF POGO AT THE START OF 2020: $500B
- RESERVES OF FOREIGN NON-INTEREST BEARING ASSETS HELD BY THE CENTRAL BANK OF POGO AT THE END OF 2020 (START OF 2021): $503B
- THE CENTRAL BANK IN FOREIGN NEVER HOLDS POGO ASSETS.
Problem 1: Pogo's international net worth at the start of 2020 is
Problem 2: Is Pogo a creditor or a debtor nation at the start of 2020?
Problem 3: Pogo's net factor income from international trade (FA) for 2020 is
Problem 4: Pogo's current account (CA) for 2020 is
Problem 5: Private International Net Worth of Pogo Citizens at the start of 2021 is
Problem 6: Pogo's overall International Net Worth at the start of 2021 is
Problem 7: The fraction of Pogo's National Saving which is used to finance purchases of new plant and equipment domestically (i.e,, inside Pogo) is ____ percent
Problem 8: Pogo's GDP for 2020 is
Problem 9: Pogo's GNP for 2020 is