Answer the Questions Below

question 86

Essay

Answer the questions below:
(A)Using the diagram below, find the equilibrium interest rate when the government share is 25 percent. What is the investment share?
(B)Explain what happens to all of the variables if there is an increase in the demand for U.S. exports.

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Definitions:

Statute of Frauds

A legal principle requiring certain contracts to be in writing and signed by the party to be charged to be enforceable.

Oral Contract

An agreement between parties that is spoken, not written, but is still legally binding.

Customized Goods

Products that are specifically made according to the specifications or requirements of a customer.

Partial-Performance Exception

A legal principle that allows for the enforcement of an oral contract when one party has taken significant action based on the agreement, despite the lack of a written contract.