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In a closed economy, private saving, , is equal to I - (G - T). I + (G - T). I + (G + T). I - (G + T). I + (G - T) + C....

In a closed economy, private saving, , is equal to
I - (G - T).
I + (G - T).
I + (G + T).
I - (G + T).
I + (G - T) + C.
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Answer #1

Nation Income(Y) = Consumption(C)+Investments(I)+Government Spending(G)+Net Exports
In closed economy NX =0
Also Y = C + Saving(S) + Tax(T)
Equation both equations we get

Savings = I +(G-T)

Hence option b is correct option

Note: Brother if you have any queries related the answer please do comment.
I would be very happy to resolve all your queries.

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