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You are given the following information about an economy:
Gross Investment = 40
Govt. purchases of goods & service = 30
GNP = 200
X - M = -20
Personal Tax = 60
Govt. transfer = 25
Interest payments from the Govt. to domestic Pvt. Sector = 15
Factor income received from the rest of the would = 7
Factor payment made to rest of would = 9
Calculate:
a) Consumption
b) GDP
c) Net factor payment from abroad
d) Pvt. Saving
e) Public Saving.
What are the Four different measures of GDP Using circular flow model we see that there are 4 equivalent techniques of measuring GDP: Using the definition: market value
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