Economic Homework help?

Question

If GDP is $100 billion, consumption is $60 billion, investment is $30 billion, and net exports are –$5 billion, what is government spending in this economy?

my answer

GDP = C + I + G + (X - M)

100 billion = 60 billion + 30 billion – 5 billion

100 billion = 85 billion

100 billion – 85billion = 15 billion

The total government spending is 15 billion

Am I right?

Answer 1

ya

Answer 2

Yes, you are right if you calculate for yourself, the only difference - mathematically right prove (if you plan to show work for somebody else) will look something like this:

Y=C+I+G+NX

Y=100

C=60

I=30

NX= -5

100=60+30+G-5

G=100-60-30+5

G=15

Answ: Government spending in this economy = $15 billion

Answer 3

yes, and you proved it yourself :)