In a small, closed economy, national income (GDP) is $600 million for the current year. Individuals have spent $250 million on the consumption of goods and services. They have paid a total of $100 million in taxes and the government has spent $200 million on goods and services this year. Based on this information and the national income identity, this economy spends million dollars on investment.

Three years ago, the city of recker committed to build a park and music venue by the river. it was expected to cost $2.5 million and be paid for from an additional meals tax in the community. the residents pushed back. local restaurants suffered as people ate out less or patronized restaurants in neighboring communities. the project has stalled, but the town council kept pushing it on. this spring, a flood devastated the venue. the town council appears to have suffered from bias