If an Economy Is in Equilibrium When Net Taxes =

question 126

Multiple Choice

If an economy is in equilibrium when net taxes = $50 trillion,saving = $40 trillion,government purchases = $50 trillion,exports = $30 trillion,and imports = $10 trillion,then planned investment spending must equal

• A)zero
• B)$50
• C)$10
• D)$20
• E)the answer is indeterminate

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Definitions:

Technical Analysis

The evaluation of securities by means of studying past market data, primarily price and volume.

Retain Earnings

Profits that a company has decided to keep or retain rather than paying out to shareholders in dividends or reinvesting back into the company.

Issue Stock

To issue stock is a process whereby a company distributes new shares to investors, thus raising capital in exchange for ownership stakes in the corporation.

IPO

Initial Public Offering, the process through which a private company offers its shares to the public for the first time.