*Which of the following represents the national savings and investment identity – Supply of financial capital = Demand for financial capital – expressed in algebraic terms?
A. (M – X) = I – S – (T – G)
B. S + (M – X) = I + (G – T)
C. X – M = S + (G – T) – I
D. I – S – (T – G) = (M – X)
Answer:B
*Which of the following represents the national savings and investment identity – Supply of financial capital = Demand for financial capital – expressed in algebraic terms?
A. (M – X) = I – S – (T – G) B. S + (M – X) = I + (G – T) C. X – M = S + (G – T) – I D. I – S – (T – G) = (M – X)
Explanation: Type: Multiple Choice