Multiple Choice
Hungary buys railroad engines from a Canadian firm and pays for them with forints (Hungarian currency) . What happens to Canadian net exports and net foreign investment due to this transaction?
A) It increases both Canadian net exports and Canadian net foreign investment.
B) It decreases both Canadian net exports and Canadian net foreign investment.
C) It increases Canadian net exports and decreases Canadian net foreign investment.
D) It decreases Canadian net exports and increases Canadian net foreign investment.
Correct Answer:

Verified
Correct Answer:
Verified
Q41: Assume the exchange rate is about 292
Q42: On behalf of your firm, you make
Q43: In which situation must national saving rise?<br>A)
Q44: An American pharmacy buys drugs from a
Q45: According to purchasing-power parity, if prices in
Q47: Suppose the nominal exchange rate is 95
Q49: What type of economy does Canada have?<br>A)
Q50: If the exchange rate changes from 57
Q51: A U.S. textbook publishing company sells texts
Q159: How do we find the real exchange