In a small, closed economy, national income (GDP) is $350.00 million for the current month. Individuals have spent $100.00 milli
on on the consumption of goods and services. They have paid a total of $60.00 million in taxes, and the government has spent $75.00 million on goods and services this month. Use this information and the national income identity to answer the questions. 1. How much is spent on investment in this economy? investment?
2. What is national saving in this economy?
3. How are investment and national saving related in an economy like this?
a. National saving equals investment. Investment is a component of national saving.
b. National saving is always less than investment.
c. They are unrelated.
Depreciation is the reduction in the value of an asset over time due to regular wear and tear. Straight - line depreciation is where the same amount is reduced every year over the life of the asset. It is calculated as (Cost of asset - residual value) / number of useful life years
Based on the information provided within the question it can be said that this statement is False. The term that actually provides a better understanding of this is Community Needs Assessment: Purpose, since the main goal of the community needs assessment is to meet the needs of children, youth, and families by identifying the strengths and resources available in the community.
