Question: step by step explanations and list formula used beforehand and any theory and definitions please! (a) Private gross saving and net lending (b) Government gross

step by step explanations and list formula used beforehand and any theory and definitions please!

(a) Private gross saving and net lending

(b) Government gross saving and net lending

(c) The current account balance

What is the relationship between the three numbers that you just calculated?

step by step explanations and list formula used beforehand and any theory

Variable Amount Private consumption 50 Government consumption 23 Private investment 20 Government investment 3 Exports 36 Imports 32 Primary income from RoW 5 Primary income to RoW 2 Taxes less subsidies on products 10 Net transfers from RoW 0 Capital stock 200 Depreciation rate 7.5% Labour income 60 Net interest paid from gov't to private sector 1 Gov't income from private sector (taxes, etc.) minus transfers 24

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