Multiple Choice
Under the simplifying assumptions made in the text, a current account deficit
A) arises when imports exceed exports.
B) arises when the purchase of foreign assets by a nation's citizens exceed the purchase of domestic assets by a nation's citizens.
C) is necessary for a long run economic growth.
D) arises when a country's exchange rate falls.
Correct Answer:
Verified
Correct Answer:
Verified
Q9: As a result of the financial crisis
Q10: All other things unchanged, an increase in
Q11: Which of the following is possible with
Q12: A current account surplus exists when the
Q13: Suppose Grovner's exports equal $950 billion, its
Q15: An exchange rate system in which governments
Q16: In the short run, an increase in
Q17: It is impossible to have a current
Q18: The newspapers often use the terms "a
Q19: The current account is<br>A) an accounting statement