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In a given year, a country's GDP = $9841, net factor payments from abroad = $889, taxes = $869, transfers received from the government = $296, interest payments on the government's debt = $103, consumption = $8148, and government purchases = $185. The country had private saving equal to

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TomShelby

Answer:

PRIVATE SAVING 1120

Explanation:

Income + goverment transfer - taxes = Disposable Income

Then this Income can be used for consumption or saved.

Disposable income = C + S_p

clearing S_p

(Y+transfer - T) - C = PRIVATE SAVING

(9841+296-869)-8148 = PRIVATE SAVING

PRIVATE SAVING 1120

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