A Country Has Output of $900 Billion,consumption of $600 Billion,government

question 95

Multiple Choice

A country has output of $900 billion,consumption of $600 billion,government expenditures of $150 billion and investment of $120 billion.What is its supply of loanable funds?

• A)$30 billion
• B)$90 billion
• C)$120 billion
• D)$150 billion

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Definitions:

Classical Decision Model

A theory suggesting decisions are made with rationality, where all alternatives and outcomes are considered and the best choice is made to maximize utility.

Behaviour Decision Model

A theory that explains how individuals make decisions based on the acknowledgment of available alternatives, possible outcomes, and the implications of their choices.

Cognitive Limitations

Refers to the inherent restrictions in human cognitive capacity, affecting memory, attention, and the ability to process information.

Preferred Course Of Action

The most favored plan or method to achieve a desired outcome or solve a problem.