Read the slides on chapter and answer the questions attached. The formular will aid you to compute the problems. c=consumption, I=invesment, G=government sepending or expenditure X= export, IM= import GDP = C+I+G+ X- IM National savings = GDP C-G Net capital inflow = IM-X Investment spending = National savings + Net capital inflow In the Conanian economy: Consumption 200 billion Government spending 88 billion Imports 17 billion Investment spending 70 billion Exports 10 billion Ask students to compute the following based on the data in the table. 1. GDP in Conania 2. National savings in Conania 3. Net capital inflow into Conania 4. The savings-investment spending identity for the Conanian economy The Budget Balance in Conania Answer the following questions: 1. Assume the budget balance in Conania changes from positive to negative. What effect will this have on investment spending in Conania? 2. Assume that while the budget balance in Conania changes from positive to negative, net capital inflow in Conania also decreases. What impact will this have on private investment spending in Conania