Answered You can hire a professional tutor to get the answer.
QUESTION
Assume that an economy is open to capital inflows and that the inflows are equal to imports minus exports (IM - X). Answer the following questions.
Assume that an economy is open to capital inflows and that the inflows are equal to imports minus exports (IM - X). Answer the following questions.
a. Budget balance = -$20; X = $60; IM = $90; Private saving = $150. Calculate investment spending.
b. Private saving = $200; Investment = $220; Budget balance = -$30. Calculate (IM - X).
