Using the information given below for the fictitious country "Alpha," find national saving, private saving, public saving, and the national saving rate. Household saving =80 Business saving =430 Government purchases of goods and services =340 Government transfers and interest payments =100 Tax collections =500 GDP =2,500 Instructions: Enter your response for the national saving rate rounded to one decimal place. If you are entering any negative numbers, be sure to include a (-) in front of those numbers. National saving & Private saving & Public saving & National saving square & square & square & square

## Step 1: Calculate Private Saving<br />### Private saving is the sum of household saving and business saving. Given that household saving is $80$ and business saving is $430$, we calculate private saving as follows:<br />\[<br />\text{Private Saving} = \text{Household Saving} + \text{Business Saving} = 80 + 430 = 510<br />\]<br /><br />## Step 2: Calculate Public Saving<br />### Public saving is calculated as the difference between tax collections and the sum of government purchases and government transfers/interest payments. Given that tax collections are $500$, government purchases are $340$, and government transfers and interest payments are $100$, we calculate public saving as follows:<br />\[<br />\text{Public Saving} = \text{Tax Collections} - (\text{Government Purchases} + \text{Government Transfers and Interest Payments}) = 500 - (340 + 100) = 500 - 440 = 60<br />\]<br /><br />## Step 3: Calculate National Saving<br />### National saving is the sum of private saving and public saving. Using the values calculated in Steps 1 and 2, we find:<br />\[<br />\text{National Saving} = \text{Private Saving} + \text{Public Saving} = 510 + 60 = 570<br />\]<br /><br />## Step 4: Calculate National Saving Rate<br />### The national saving rate is calculated as the ratio of national saving to GDP, expressed as a percentage. Given that GDP is $2,500$, we calculate the national saving rate as follows:<br />\[<br />\text{National Saving Rate} = \left(\frac{\text{National Saving}}{\text{GDP}}\right) \times 100 = \left(\frac{570}{2500}\right) \times 100 = 22.8\%<br />\]