Consider Three Different Closed Economies with the Following National Income

question 33

Multiple Choice

Consider three different closed economies with the following national income statistics. Country A has taxes of $40 billion, transfers of $20 billion, and government expenditures on goods and services of $30 billion. County B has private savings of $60 billion, and investment expenditures of $50 billion. Country C has GDP of $300 billion, investment of $70, consumption of $180 billion, taxes of $60 billion and transfers of $20 billion. From this information we know that there is a $10 billion government budget deficit for

• A)only country A.
• B)only country B.
• C)only country C.
• D)all three countries.

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Definitions:

Citizen Participation

The involvement of individuals in political, economic, and social decisions that affect their lives.

Citizenship

Citizenship is the status of being a legally recognized subject or national of a state, with associated rights and obligations.

Political Community

A group of people with a collective identity based on shared government, political institutions, or beliefs.

Naturalization Laws

Regulations governing the process through which a foreign citizen or national can acquire citizenship or nationality in another country after fulfilling specific requirements.