Given the following data for an economy :
| Item | Value |
|---|
| Gross domestic product at market prices | 20,000 |
| Gross domestic capital formation | 5,000 |
| Depreciation | 4,000 |
| Net exports | (–) 2,000 |
| Net factor incomes from abroad | 5,000 |
| The economy’s net domestic capital formation is | |
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National income accounting has come up 132 times in 6 exams since 2010.
What this question tests
This question is on Saving and investment identities, part of National income accounting in Macroeconomics.
The accounting links between saving, investment, the government budget and the current account.
TestStop has 8 past-paper questions on this subtopic.
Question from the JNU SSS 2013 paper. Solutions are TestStop's own. Not affiliated with or endorsed by any examination authority.