Multiple Choice
If net exports are negative, then
A) net capital outflow is positive, so foreign assets bought by Americans are greater than American assets bought by foreigners.
B) net capital outflow is positive, so American assets bought by foreigners are greater than foreign assets bought by Americans.
C) net capital outflow is negative, so foreign assets bought by Americans are greater than American assets bought by foreigners.
D) net capital outflow is negative, so American assets bought by foreigners are greater than foreign assets bought by Americans.
Correct Answer:
Verified
Correct Answer:
Verified
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