d. What are the levels of saving and actual investment?Saving = $17 billionInvestment = $17 billione. In which direction and by what amount will unplanned investment change as the economy moves from the $370 billion level of GDPto the equilibrium level of real GDP?Unplanned inventories will risev by $billion.f. From the $330 billion level of real GDP to the equilibrium level of GDP?Unplanned inventories will fallv by $|billion. The table below shows levels of employment, output, consumption, and saving for a private closed economy.Possible LevelsReal Domesticof Employment,MillionsConsumption,Output,BillionsSaving,BillionsBillions45$ 250$ 249$1502782702655552902819603102971365330313177035032921753703452580390361298541037733Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) infront of those numbers.Using the consumption and saving data above and assuming planned investment is $21 billion, answer the following questions:a. What are saving and planned investment at the $370 billion level of domestic output?Saving = $29 billion%3DInvestment = $billionb. What are saving and actual investment at that level?Saving = $29 billionInvestment = $29 billionc. What are saving and planned investment at the $330 billion level of domestic output?Saving = $17 billionInvestment = $| billiond. What are the levels of saving and actual investment?Saving = $17 billion

Since nothing is mentioned, we will solve the first three subparts only. Please resubmit the…

Answered: The table below shows levels of…

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter21: Financial Markets, Saving, And Investment

Section: Chapter Questions

Problem 9P

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Suppose Tom is 20 years old. He works till 50 years old, retire, and live up to 80 years old. While working, Tom's job pays a month income of $2000/month. There's no income or pension after retirement. (Also ignore any medical expense or existing debt). If beta=1 and i=0%, then Tom's month spending = $______/month. Hint: you can calculate how many years Tom will be earning the income, and how many years Tom need to spend the income.
The table below shows levels of employment, output, consumption, and saving for a private closed economy. Possible Levels of Employment, Millions Real Domestic Output, Billions $ 240 Consumption, Billions $ 244 Saving, Billions 40 -$4 45 260 260 50 280 276 4 55 300 292 60 320 308 12 65 340 324 16 70 360 340 20 75 380 356 24 80 400 372 28 Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers.
The table below shows levels of employment, output, consumption, and saving for a private closed economy. Possible Levels Real Domestic of Employment, Consumption, Billions Saving, Output, Billions Millions Billions 35 $230 $239 -$9 40 250 255 -5 45 270 271 -1 50 290 287 3 55 310 303 7 60 330 319 11 65 350 335 15 70 370 351 19 75 390 367 23 Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. Using the consumption and saving data above and assuming planned investment is $19 billion, answer the following questions: a. What are saving and planned investment at the $390 billion level of domestic output? Saving = $ billion Investment = $ billion b. What are saving and actual investment at that level? Saving = $ billion Investment = $ billion c. What are saving and planned investment at the $350 billion level of domestic output? Saving = $ billion Investment = $ billion d. What are the…
The Atlantic Investment Tax Credit is a 10% tax credit available to businesses that make specific investments in the Atlantic region and the Gaspe Peninsula. The graph shows the market for loanable funds. Show the impact of this tax credit by moving the proper curve appropriately in the graph. The new equilibrium interest rate is The quantity of loanable funds is $ ક billion Which statement accurately describes the impact of the Atlantic Investment Tax Credit? Interest rate (%) 10 9 8 7 6 5 st 3 2 1 0 0 5 10 15 20 25 30 35 Quantity of loanable funds (in billions) 40 Supply Demand 45 50
Manipulate the graph to show what will happen to supply and demand in the market for loanable funds when the government budget deficit increases, changing the equilibrium quantity of loanable funds by 3 percentage points. Ceteris paribus, what is the new interest rate? interest rate: 6 Ceteris paribus, private investment would decrease. not change. increase. % Interest rate (%) 10 9 8 7 6 4 3 2 1 0 0 Supply 6 Demand 2 4 6 8 10 12 14 16 18 20 22 24 26 28 Quantity of loanable funds (% of GDP)
Given demand and supply for loanable fund Market at given time period in the table below Quantity of loanable fund demanded (billion $) Real Quantity of loanable fund supplied (billion $) interest rate 0.5 400 120 0.75 380 140 1 360 160 180 1.25 340 1.5 320 20 1.75 300 220 280 240 2.25 260 260 2.5 240 280 2.75 220 300 3 200 320 3.25 180 340 3.5 160 360 3.75 140 380 4 120 400 Instructions: 1. Using excel, find the equilibrium real interest rate and quantity of loanable fund, show the point on the graph. 2. If this country experiences an expansion business cycle phase that increases the demand for loanab fund by $40 billion. a) Find the new equilibrium real interest rate and quantity of loanable fund. b) Show the shift on the graph. 3. Starting from the original equilibrium If there is a decreases in aggregate income that decreases supply for loanable fund by $20 billion. a) Find the new equilibrium real interest rate and quantity of loanable fund. b) Show the shift on the graph. (
The table below shows Demand and Supply for loanable fund at given time. Real interest rate Quantity of loanable fund demanded (billion $) Quantity of loanable fund supplied (billion $) 0.01 1000 400 0.02 950 450 0.03 900 500 0.04 850 550 0.05 800 600 0.06 750 650 0.07 700 700 0.08 650 750 0.09 600 800 0.10 550 850 0.11 500 900 0.12 450 950 0.13 400 1000 0.14 350 1050 0.15 300 1100 Instructions: Using excel, find the equilibrium real interest rate and quantity of loanable fund. show the equilibrium on a graph. If this country experiences a recession business cycle phase that decreases the demand for loanable fund by $200 billion. Find the new equilibrium real interest rate and quantity of loanable fund. Show the shift on the graph. list Two factors that shift SLF rightward and two factors that shift DLF rightward What is the meaning of crowding out?…
Use the following graph (shifts in the supply of loanable funds) for the next five questions. Interest 6%- S3 rate 5- 3 S₁ S₂ $200 250 300 350 400 Savings (billions of dollars) Assuming the supply of loanable funds is at S1, which of the following represents an increase in the number of retired people in a nation? no change O a shift to $3 a movement down and to the left along S1 a movement up and to the right along S1 O a shift to S2
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The table shows the demand for loanable funds schedule and the supply of loanable funds schedule when the government budget is balanced. Loanable funds Loanable funds demanded Real interest rate (percent per year) supplied If the govemment budget surplus is $1.0 trillion, what are the real interest rate, the quantity of investment, and the quantity of private saving? (trillions of 2009 dotlars per year) 8.0 6.0 7.5 6.5 If the government budget surplus is $1.0 trillion, the real interest rate is percent a year. 7.0 7.0 6.5 75 If the government budget surplus is S1.0 trillion, the quantity of investment is S trillion, and the quantity of private saving is $ trillion. 6.0 8.0 5.5 8.5 10 5.0 9.0
What are the contributing factors that contribute to the successful investment companies in the investment market.
A mortgage 105m is a loan that a person makes to purchase a house. Table 19.11 provides a list of the mortgage interest rate for several different years and the rate of inflation for each of those years. In which years would it have been better to be a person borrowing money from a bank to buy a home? In which years would it have been better to be a bank lending money?

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