Multiple Choice
A Norwegian firm purchases earth-moving equipment from a Canadian company and pays for it with domestic currency. What are the effects of this transaction?
A) It increases Canadian net exports and increases Norwegian net capital outflow.
B) It increases Canadian net exports and decreases Norwegian net capital outflow.
C) It decreases Canadian net exports and increases Norwegian net capital outflow.
D) It decreases Canadian net exports and decreases Norwegian net capital outflow.
Correct Answer:
Verified
Correct Answer:
Verified
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