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- Subject
- Stockseconomics-mcqs › stocks
- Published
- 30 May 2019
- Last updated
- 28 May 2026
Given that GDP is Rs 1,000, consumption amounts to Rs 600, taxes are Rs 100, and government spending is Rs 200, what are the values of saving and investment?
Multiple choice question for Stocks. Select an option, then review the explanation below.
Explanation
Based on the provided figures, saving and investment both calculate to zero, as indicated in option D.
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Practice related questions from the same subject.
- 1.What is the effect of an increase in the budget surplus on the market for loanable funds?
- 2.What happens to real interest rates and investment if Pakistani citizens become less future-oriented and reduce their savings at every real interest rate?
- 3.What effect does a rise in the budget deficit have on public savings?
- 4.What is the effect of a larger budget deficit on the real interest rate and the demand for loanable funds used for investment?
- 5.Which combination of government policies is most effective in promoting economic growth?