Multiple Choice
Suppose that the economy is in equilibrium, with the government budget in deficit and with saving less than investment.According to the circular-flow model, how do imports relate to exports?
A) Imports must exceed exports.
B) Imports must be less than exports.
C) Imports must equal exports.
D) Imports could be less than or equal to exports.
Correct Answer:

Verified
Correct Answer:
Verified
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