Supply and Demand

Read the following case study and write a 1 page summary based on the following:

The government's equations for demand, private saving, and the government's deficit are listed here: Id =1200-62.5r, S= 1875 + 37.5r, T-G = -175.

Based on the scenario answer the following:

• What is the equation for national saving?
• Compute the new equilibrium interest rate.
• Compute the values of national saving at the new equilibrium interest rate.
• Prepare a report of your findings.
• Provide a minimum of two sources.
• Paper is formatted and cited using APA formatting style.