Use the Following to Answer Questions

question 364

Multiple Choice

Use the following to answer questions :
Scenario: Open Economy S = I
In an open economy GDP is $12 trillion this year. Consumption is $8 trillion, and government spending is $2 trillion. Taxes are $0.5 trillion. Exports are $1 trillion, and imports are $3 trillion.
-(Scenario: Open Economy S = I) Look at the scenario Open Economy S = I. How much is the net capital inflow?

• A)$1 trillion
• B)$2 trillion
• C)$3 trillion
• D)$4 trillion

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Definitions:

Working

The act of engaging in employment or exerting effort towards the production of goods and services in exchange for wages or salary.

Looking For Work

The process engaged in by individuals who are actively seeking employment opportunities but are currently unemployed.

Poverty Line

The minimum level of income deemed adequate in a particular country for individuals to cover basic needs of living.

Welfare Rolls

A term referring to the list or number of individuals receiving government assistance for living expenses due to economic hardship.