They are at a standstill with each other and can make business happen with each other. Therefore they're like associates or friends working together to better themselves.
Answer:
B. Memory
Explanation:
Mnemonics are a tool to aid memory.
Answer:
D. the combinations of output and the interest rate where the goods market is in equilibrium.
Explanation:
The IS curve means investment-savings curve.
The IS curve is the combinations of output and the interest rate where the goods market is in equilibrium.
It is a curve which shows the different combinations of income (Y) and the real interest rate (r) such that the market for goods and services is in equilibrium.
This means that, every point on the IS curve is an income/real interest rate pair (Y,r) such that the demand for goods is equal to the supply of goods(Qs=Qd) or equivalently, the desired national saving is equal to desired investment.
Answer: Option (C) is correct.
Explanation:
National Savings is divided into two parts, private savings and public savings.
Private Savings = GDP - Taxes + Transfer payments - Consumption Spending
= Y - T + TR - C
= 12 - 3 + 2 - 9
= $ 2 trillion
Public Savings = Taxes - Government Spending - Transfer payments
= 3 - 0 - 2
= $1 trillion
∴ Option (C) is correct.
Private saving = $2 trillion and public saving = $1 trillion.
