The leakage and injections approach implies that deficit spending by the government must be financed by
A) private investment less private savings plus net exports.
B) private saving less private investment plus net exports.
C) the trade deficit must always offset the government deficit.
D) B and C.
A
Economics
You might also like to view...
Foreign direct investment-capital injections from abroad-can promote economic growth
a. True b. False Indicate whether the statement is true or false
Economics
Exit from a perfectly competitive industry causes the market supply curve to shift to the left, resulting in a lower quantity of output and a higher price
a. True b. False Indicate whether the statement is true or false
Economics