Question: Can you please help me this questions listed below? Suppose that every additional 3 percentage points in the investment rate boost GDP growth by 1

Can you please help me this questions listed below?

Suppose that every additional 3 percentage points in the investment rate boost GDP growth by 1 percentage point. Assume also that all investment must be financed with consumer saving. Note: Investment rate = Investment/GDP The economy is currently characterized by: Consumption $10 trillion Saving (= Investment) $2 trillion GDP $12 trillion If the goal is to raise the growth rate by 1 percentage point, a. By how much must investment increase? billion b. By how much must consumption decline? billion

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