In a large open economy, the home country's saving and investment equations are: Sd = 200 + 700rw and Id = 300 - 200rw. The foreign country's saving and investment equations are: Sd = 50 + 300rw and Id = 75 - 50rw. In equilibrium, the world real interest rate =

What does LIBOR stand for?

A) London Interbank Offer Rate B) Least Integral Borrowing Order Rate C) Local Interest Bank Ongoing Rate D) Liberalized Interoffer Borrowing Rate

If consumption in the United States was 68 percent of GDP, investment was 19 percent, government purchases were 13 percent, exports were 14 percent, and imports were 14 percent, net exports were equal to ____ percent of GDP

a. -1 b. 0 c. -28 d. 28