Multiple Choice
If a Canadian manufacturer of linens purchases cotton from Egypt, what are the effects of this transaction?
A) Canadian net exports increase, and Canadian net capital outflow increases.
B) Canadian net exports increase, and Canadian net capital outflow decreases.
C) Canadian net exports decrease, and Canadian net capital outflow increases.
D) Canadian net exports decrease, and Canadian net capital outflow decreases.
Correct Answer:

Verified
Correct Answer:
Verified
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