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vodka [1.7K]
2 years ago
11

The following are national income account data for a hypothetical economy in billions of dollars: government purchases ($1,050),

personal consumption expenditures ($4,800), imports ($370), exports ($240), and gross private domestic investment ($1,130). Personal consumption expenditures are approximate what percentage of this economy?
Business
1 answer:
Hatshy [7]2 years ago
7 0

Answer:

70%

Explanation:

Given that

Government purchases ($1,050)

Personal consumption expenditures ($4,800)

Imports ($370)

Exports ($240)

Gross private domestic investment ($1,130)\

As we know that

GDP = Personal consumption expenditure + Government purchases + Gross private domestic investment + Exports - Imports

= $4,800 + $1,050 + $1,130 + $240 - $370

= $6,850 billion

Now the percentage is

= $4,800 ÷ $6,850 × 100

= 70%

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