If a country's consumer expenditure in 2021 was 60 and investment 15 and government spending 30 and net export -5 while in 2022 that same country's consumer expenditure is 70 and investment is 20 and government spending is 35 and net export is -15. All values are in Millions.
Describe the economic activity in 2022 compared to 2021
In 2022, the country experienced a growth in economic activity compared to 2021. This is evident from the increase in consumer expenditure from 60 million to 70 million, indicating that consumers are spending more on goods and services. Investment also increased from 15 million to 20 million, showing that businesses are expanding and investing in projects. Government spending also increased from 30 million to 35 million, suggesting that the government is increasing its expenditure on public services and infrastructure.
However, the country experienced a decrease in net exports from -5 million to -15 million, indicating that the country is importing more goods and services than it is exporting. This could be a cause for concern as it may lead to a trade deficit.
Overall, the increase in consumer expenditure, investment, and government spending shows that the country's economy is experiencing growth in 2022 compared to 2021.