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Suppose That in a Closed Economy GDP Is Equal to 11,000,taxes

question 7

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Suppose that in a closed economy GDP is equal to 11,000,taxes are equal to 1,000,consumption equals 7,500,and government purchases equal 2,000.What is national saving?


Definitions:

MRP Schedule

Marginal Revenue Product Schedule, which details the additional revenue generated from employing one more unit of a resource or input.

Economic Rent

Income derived from the ownership of a unique asset or a situation, where no actual work is done to earn it.

MRP Schedule

A chart or table that shows the marginal revenue product of labor, detailing how changes in the quantity of labor employed will impact total revenue generated.

Economic Rent

A payment to an owner or factor of production in excess of the costs needed to bring that factor into production.

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