$$\begin{array} { l } C = 40 + 0.8 Y \\I _ { g } = 40 \\X = 20 \\M = 30\end{array}$$

question 88

Multiple Choice

$$\begin{array} { l } C = 40 + 0.8 Y \\I _ { g } = 40 \\X = 20 \\M = 30\end{array}$$ (Advanced analysis) The equations give information for a private open economy. The letters $$Y , C , I _ { g } , X$$ and M stand for GDP, consumption, gross investment, exports, and imports, respectively. Figures are in
Billions of dollars. In equilibrium, saving is

• A) $20.
• B) $30.
• C) $40.
• D) $50.

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