Discuss the values of private saving in closed and open ...

[sam.t96]

Discuss the values of private saving in closed and open economies.
 
  What will be an ideal response?

Question 2

Foreign exchange activity is dominated by the spot and swaps markets.
 
  Indicate whether the statement is true or false

[Joy Chen]

Answer to Question 1

In a closed economy, private saving, , is equals to, I + (G - T). In a open economy, private saving, , is equals to I + CA + (G - T). Open economy helps in extending the opportunities for private saving or dis-saving, or borrowing.

Answer to Question 2

TRUE

[sam.t96]

Thanks for the timely response, appreciate it

[Chelseyj.hasty]

Wow, this really help