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An Open Economy Has GDP of $1,000 Billion, Consumption of $650

Question 193

Multiple Choice

An open economy has GDP of $1,000 billion, consumption of $650 billion, government expenditures of $150 billion, and domestic investment of $40 billion. What is its demand for loanable funds?


A) $40 billion
B) $120 billion
C) $160 billion
D) $200 billion

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