In a closed economy, GDP is $1000, government purchases are $200, and consumption is $700 . If the government has a budget surplus of $25, what are investment, taxes, private saving, and national saving?

If a company's stock is perceived to be more risky than average, what will happen to their equity cost of capital? Explain using the capital asset pricing model

What will be an ideal response?

Which of the following is inversely related to consumption spending?

a. Wealth b. Interest rates c. Disposable income d. Optimism about future income e. None of the above.