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Suppose That the Economy Is in Equilibrium, with a Trade

question 109

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Suppose that the economy is in equilibrium, with a trade deficit and with saving greater than investment.According to the circular-flow model, what is the state of the government's budget?  


Definitions:

Variable

An element, feature, or factor that is liable to vary or change.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values from their mean.

Scores

Numerical data representing individual performance or achievement in a test, assessment, or experimental condition.

Average Deviation

The average difference between each data point in a set and the mean of that set.

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