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If We Take into Account Transfer Payments (TR)when We Derive

Question 23

Multiple Choice

If we take into account transfer payments (TR) when we derive the saving and investment relationship, the saving and investment equation becomes

A) S = I + NFI.
B) S + TR = I + NFI.
C) S = I + NFI + TR.
D) S = I + NX - TR.
E) I = S + NFI

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