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Use information from the flowing table to calculate the values of: (i) Gross investment (ii) Net investment (iii) GDP (iv) National saving (v) Public saving
Question 2 The following equation describes the relationship between investment and capital.
5 bill5 billHousehold consumption2000Beginning – of – year inventory stocks1000Depreciation100End – of – year inventory stocks800Exports500Business fixed investment1200Government consumption2000Government transfer payments491Private residential construction1500Government interest payments109Sales of existing houses100Indirect taxes less subsidies500Imports1000Direct taxes1500Capital Stock8000Payments to owners of capital1800
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