-Using the Data in the Above Table, Suppose Imports Equals

question 359

Multiple Choice

$$\begin{array} { | l | l | } \hline \text { Item } & \begin{array} { l } \text { Billions of } \\\text { dollars }\end{array} \\\hline \text { Exp orts of goods and services, } X & 500 \\\hline \text { Imports of goods and services, } M & \\\hline \text { Net taxes, } T & 750 \\\hline \text { Government exp enditure, } G & \\\hline \text { Saving, } S & 1,000 \\\hline \text { Investment, } I & \\\hline\end{array}$$
-Using the data in the above table, suppose imports equals $250 billion and investment equals
$1,000 billion. Hence government expenditure equals

• A) $500 billion.
• B) $250 billion.
• C) $1,000 billion.
• D) $750 billion.

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Definitions:

Commercial Illegality

The state of being contrary to the laws governing commerce and business practices.

Commercial Impracticability

A doctrine in contracts law where a party may be relieved from performing under a contract, due to unforeseen and impractical hardships, not within the contemplation of the parties at the time of the contract’s formation.

Perfect Tender Rule

A principle in commercial law that requires the delivery of goods to be exactly as specified in the contract without any deviation.

Substantial Impairment

A significant reduction or weakening in strength, value, or quality of an asset or entity's ability to perform its intended function.