Define savings and investment as the terms are used in macroeconomics. Show that savings equals investment...

Define savings and investment as the terms are used in macroeconomics.

Show that savings equals investment for the economy as whole.

Expert Solution

Rahul Sunny answered 1 year ago

In macroeconomics, why are equilibrium total savings equal to investment? Demonstrating the algebra is not enough...

In macroeconomics, why are equilibrium total savings equal to investment? Demonstrating the algebra is not enough to answer this question. An intuitive explanation is needed.

In terms of savings, define the term ‘AER’ and describe how this concept is of use...

In terms of savings, define the term ‘AER’ and describe how this concept is of use to savers when choosing between different savings products.

5. If a country runs a current account surplus and national private savings equals domestic investment,...

5. If a country runs a current account surplus and national private savings equals domestic investment, then the combined governmental accounts must be ________. A) balanced B) in deficit C) in surplus D) could be either negative or positive, depending on the capital account. 6. For an economy, if its national saving is greater than its domestic investment, then which of the following is true? A) this economy must have a current account surplus. B) this economy must have a...

Define how unemployment rates affect macroeconomics and show an example. In words discuss the topic. Response...

Define how unemployment rates affect macroeconomics and show an example. In words discuss the topic. Response should include: • Quick summary of the topic • Be clear on the macroeconomics behind whats going on • What does this mean and why do we care.

Define how unemployment rates affect macroeconomics and show an example. In words discuss the topic. Response...

Define how unemployment rates affect macroeconomics and show an example. In words discuss the topic. Response should include: • Quick summary of the topic • Be clear on the macroeconomics behind whats going on • What does this mean and why do we care.

define the following terms and describe in a paragraph how they are used for in an...

define the following terms and describe in a paragraph how they are used for in an income statement to analyze the company's financial position. Revenue COGS Gross Profit SG&A EBITDA Depreciation Interest EBT Taxes Net Income

Define the following terms and show their accounting treatment: (a) Account expenses. &n

Define the following terms and show their accounting treatment: (a) Account expenses. [2 marks] (b) Prepaid expenses. [2 marks] (c) Unused stationery. [2 marks] (d) Unexpired expenses. [2 marks] (e) Omitted invoice. [3 marks] (f) Drawings. [3 marks] (g) Accrued income. [3 marks] (h) Advance income. [2 marks] (i) Bad debts, bad debts recovered, provision for bad debts.[4 marks (j) Depreciation.

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Define savings and investment as the terms are used in macroeconomics. Show that savings equals investment...

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In macroeconomics, why are equilibrium total savings equal to investment? Demonstrating the algebra is not enough...

In terms of savings, define the term ‘AER’ and describe how this concept is of use...

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