The country of Yokovia does not trade with any other country. Its GDP is $20 billion. Its government collects $2 billion in taxes. Consumption equals $15 billion and investment equals $2 billion. What is public saving in Yokovia, and what is the value of the goods and services purchased by the government of Yokovia?A. 2 billion and -1 billion
B. 1 billion and 1 billion
C. 1 billion and 3 billion
D. 2 billion and 3 billion

C. 1 billion and 3 billion

Explanation:

We know from the national accounts identity that in a closed-economy like Yokovia GDP is equal to:

GDP = C + I + G

Where:

From the question, we have obtained the information that GDP is $20 billion, Consumption is $15 billion, and Investment is $2 billion. We plug those amounts into the identity:

GDP = C + I + G

$20b = $15b + $2Bb + G

After laying out this information, we can be certain that G (Government spending or Government purchases) equals $3 billion, because otherwise, the equation would not hold true. Thus:

$20b = $15b + $2b + $3b

As for the value of National Saving, we know that National Saving is equal to:

Nationa Salving = Government Purchases - Taxes

                          = $3b - $2b

                          = $1b

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know

2b2t

explanation:

2b2t