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Assuming the Economy Was in Equilibrium,use the Following Information to Determine

Question 89

Multiple Choice

Assuming the economy was in equilibrium,use the following information to determine the amount of funds demanded by the government in the loanable funds market.
 Consumption Spending $3.5 trillion  Net Taxes $2.7 trillion  Household Saving $2.5 trillion  Investment Spending $2.2 trillion  Government Purchases $3.0 trillion \begin{array} { | l | r | } \hline \text { Consumption Spending } & \$ 3.5 \text { trillion } \\\hline \text { Net Taxes } & \$ 2.7 \text { trillion } \\\hline \text { Household Saving } & \$ 2.5 \text { trillion } \\\hline \text { Investment Spending } & \$ 2.2 \text { trillion } \\\hline \text { Government Purchases } & \$ 3.0 \text { trillion } \\\hline\end{array}


A) $0.3 trillion
B) $2.2 trillion
C) $2.5 trillion
D) $3.0 trillion
E) $5.2 trillion

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