In an open economy, private saving, , is equal to A) I - CA + ...

[mp14]

In an open economy, private saving, , is equal to
 
  A) I - CA + (G - T).
  B) I + CA - (G - T).
  C) I + CA + (G - T).
  D) I - CA - (G - T).
  E) I + CA + (G + T).

Question 2

In the specific factor model, the effect of an increase in the productivity of labor in the production of cloth will cause a(an) ________ in the quantity of labor used to produce cloth, a(an) ________ in the quantity of labor used to produce food and
 
  a(an) ________ in the wage rate. A) increase; decrease; increase
  B) decrease; increase; increase
  C) increase; decrease; decrease
  D) decrease; increase; no change
  E) increase; increase; no change

[Jody Vaughn]

Answer to Question 1

C

Answer to Question 2

A

[mp14]

Thanks for the timely response, appreciate it

[helenmarkerine]

YES! Correct, THANKS for helping me on my review