Multiple Choice
An increase in the trade deficit of a small open economy could be the result of:
A) an increase in taxes.
B) an increase in government spending.
C) a decrease in the world interest rate.
D) the expiration of an investment tax-credit provision.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q8: A shrinking U.S. budget deficit in the
Q33: If domestic saving exceeds domestic investment, then
Q40: If domestic spending exceeds output, we _
Q50: When exports exceed imports, all of the
Q52: In a small open economy, if exports
Q54: Major improvements in computer information technology and
Q55: The government of a small open economy
Q67: As the U.S. budget deficit shrank in
Q126: A country's exports may be written as
Q136: Net exports equal GDP minus domestic spending