Given the following information about the open economy of Regalia, what is the level of investment spending

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Given the following information about the open economy of Regalia, what is the level of investment spending and private savings, and what are the budget balance and net capital inflow? What is the relationship among the four? There are no government transfers. Net capital inflow equals the value of imports (IM) minus the value of exports (X).

GDP = $1,000 million

G = $100 million

C = $850 million 

X = $100 million

T = $50 million 

IM = $125 million

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Macroeconomics

ISBN: 978-1319120054

3rd Canadian edition

Authors: Paul Krugman, Robin Wells, Iris Au, Jack Parkinson

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