Question: 1. What are the four basic macro markets in the economy? 2. What is meant by the circular flow of income? 3. What is a

1. What are the four basic macro markets in the economy? 2. What is meant by the circular flow of income? 3. What is a withdrawal/leakage? 4. What is an injection? 5. What is the link between injections and withdrawals? 6. Explain the circular flow diagram. 7. The following data represents flows in an economy: PARTICULARS Saving Consumption of domestic goods Income Tax revenue Indirect Tax revenue Import expenditure Export expenditure Government expenditure Investment (where government expenditure and investment includes only the amount spent in the domestic economy, that is exclude any imported component) Based on the above data, calculate the level of withdrawals from the circular flow. Businesses Product markets Arrow A Arrow B Arrow C Arrow D MILLIONS OF DOLLARS 200 1,550 750 475 600 850 900 575 Factor markets Households 8. Refer to the above figure. The top two arrows of the figure refer to the product markets. The bottom arrows refer to the factor markets. Which arrow represents the total monetary value

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

A parent company acquired 100 percent of the voting stock of a subsidiary on January 1, 2021, in exchange for $96,000. On the acquisition date, the subsidiarys stockholders equity consisted of...

Simple economies can be described in terms of three major economic flows. These are: income, spending and saving. spending, production and saving. income, saving and production. income, spending and...

In the simple circular flow of economic activity, goods and services flow via: factor markets to goods markets. factor markets from households to firms. goods markets from households to firms. factor...

1 According to a circular flow diagram of a given country, which of the following is false? a) Income received by households can be spent, saved, or used to pay taxes b) Expenditures received by...

Which of the following is a microeconomic concern? ( a) The rate of unemployment in the country ( b) How an individual consumer responds an economic recession. O c) The inflation rate the US faces. O...

1 . Define the circular flow of income. 2 . They are three types of sector economy. Explain. 3 . The following are information about circular flow income: C = RM 8 0 million + 0 . 7 5 Yd I = 5 0 0...

(i) Calculate the cost of intermediate goods, the value added at each stage and the final price for a bag of flour using the information below: (6 Marks) Stage of Production Sale Price Cost of...

I have 7 questions for Macroeconomics 1. What is meant by the Basic Economic Problem? How do various countries deal with this problem? 2. Compare and contrast a market economy with a command economy....

1 Complete the following sentence.Structural unemployment: consists of a mismatch between the job vacancies that are available and the skills or locations of unemployed workers. is the easiest for...

The following data shows the consumption function, investment, government expenditure, taxation, export and import for Country F in 2020 (figures are in RM million). Consumption (C) = 1,000+ 0.6Y...

Why is it important for us to understand how the global system of financial institutions and markets works? ros57395_ch01.qxd 12/21/04 2:45 PM Page 1 Part 1 The Global Financial System in Perspective...

Relevant costs suppose the current average cost per mile for operating a car is $0.40. Susan is required to drive to a clients office that is 50 miles away (100 miles round-trip). She can use her own...

Figure 15.64 shows the proton COSY spectrum of l-nitro propane. Account for the appearance of off-diagonal peaks in the spectrum NO,CH,CH,CH, 2- 3 4- 5+

Solve the given differential equation b y undetermined coefficients. y ' ' - 4 y = ( x 2 - 4 ) s i n ( 2 x ) y ( x ) =

Differences between financial statement and taxable income were as follows: The cumulative temporary difference to date is $40 million (also the future taxable amount). The enacted tax rate is 40%....

VeriFone Systems is a provider of electronic card payment terminals, peripherals, network products, and software. In its 2015 annual report, the company reported deferred tax assets totaling about...

Data concerning Runnells Corporation's single product appear below: Per Unit Percent of Sales Selling price .............. $160...... 100% Variable expense......... $80 ....... 50% Contribution...

In 2018, Ryan Management collected rent revenue for 2019 tenant occupancy. For financial reporting, the rent is recorded as deferred revenue and then recognized as income in the period tenants occupy...

On December 1, Spencer Department Store borrowed $19,250 from First Bank and Trust. Spencer signed a ninety-day note with a face amount of $20,000. The interest rate stated on the face of the note is...

Which of the following is not an example of pay - for - performance? Group of answer choices You decide to hand out up to $ 1 0 0 to your team members each week. Depending on how much they produce,...

Do you regularly call your own toll-free lines to experience the service you offer on them?

What is the role of communication (Chapter 4) in leadership?

What in the case and/or video might lead you to support the claim that Indra Nooyi is a transformational leader?