Under Which of the Following Circumstances Would Private Saving Be

question 194

Multiple Choice

Under which of the following circumstances would private saving be positive in a closed economy?

• A) Y = $10 trillion C = $5 trillion
• TR = $2 trillion
• G = $2 trillion
• Public saving = $1 trillion
• B) Y = $9 trillion C = $5 trillion
• TR = $1 trillion
• G = $1 trillion
• Public saving = $3 trillion
• C) Y = $8 trillion C = $2 trillion
• TR = $4 trillion
• G = $2 trillion
• Public saving = $4 trillion
• D) Y = $6 trillion C = $2 trillion
• TR = $8 trillion
• G = $3 trillion
• Public saving = $1 trillion

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Definitions:

Backward Integration

A business strategy where a company expands its role to fulfill tasks formerly completed by businesses up the supply chain, gaining control over suppliers or production.

Horizontal Integration

A strategy used by businesses to increase their market share by acquiring or merging with competitors operating at the same level of the supply chain.

Supply-Chain Strategy

Planning and management of all activities involved in sourcing, procurement, and logistics management activities.

Vertical Integration

The expansion of a company's operations into different stages of production within the same industry, usually to increase control over the supply chain.