Suppose an economy has a government budget surplus of 100, net ...

[JMatthes]

Suppose an economy has a government budget surplus of 100, net exports of -400, and a planned investment level of 1,000 . For this economy to be in equilibrium, saving must equal:
 a. 700.
  b. 500.
  c. 750.
  d. 250.
  e. 300.

Question 2

An increase in the price of ice cream would cause a decrease in the demand for ice cream and an increase in the demand for frozen yogurt, a substitute.
 a. True
  b. False
  Indicate whether the statement is true or false

[jaykayy05]

Answer to Question 1

a

Answer to Question 2

False

[JMatthes]

Thanks for the timely response, appreciate it

[dawsa925]

Great answer, keep it coming