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Saving and investment in the national income accounts The following table contains data for a hypothetical closed economy that uses the dollar as its currency

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Saving and investment in the national income accounts

The following table contains data for a hypothetical closed economy that uses the dollar as its currency.

Suppose GDP in this country is $900 million. Enter the amount for consumption.

National Income Account
Value
(Millions of dollars)
Government Purchases ( )   250
Taxes minus Transfer Payments ( )   325
Consumption ( ) ______
Investment ( )   275

Complete the following table by using national income accounting identities to calculate national saving. In your calculations, use data from the preceding table.
         
National Saving(s)

= (Y-T-G/ Y-C-G/ G-T/ Y-C)

= (G/C/Y/I)   

$__________million
Complete the following table by using national income accounting identities to calculate private and public saving. In your calculations, use data from the initial table.
         
Private Saving

=(Y-C-T/ T-G/ C-T/ Y-T-I)

$__________million
         
Public Saving

= (Y-T-I/ T-G/ C-T/ Y-C-T)

$_________million
Based on your calculations, the government is running a budget (surplus/ deficit) .