Examlex

Solved

Suppose That in a Closed Economy GDP Is Equal to 12,000

question 14

Multiple Choice

Suppose that in a closed economy GDP is equal to 12,000, taxes are equal to 1500, consumption equals 6800, and government expenditures equal 2500. What is national saving?


Definitions:

Risk Aversion

The preference to avoid uncertainty and potential financial loss.

Holding-period Return

The total return received from holding an asset or portfolio of assets over a period of time, considering both income and capital gains.

Risk Aversion

The behavior exhibited by investors who prefer lower risk investments, often at the expense of sacrificing some potential returns.

Expected Return

The anticipated average return on an investment, factoring in the probabilities of each potential outcome.

Related Questions