Multiple Choice
A U.S. firm buys apples from New Zealand with New Zealand dollars it got in exchange for U.S. dollars. New Zealand residents then use these dollars to purchase oranges from the U.S. Which of the following increases?
A) New Zeland's net capital outflow and New Zeland's net exports
B) only New Zeland's net exports
C) only New Zeland's net capital outflow
D) neither New Zeland's net exports nor New Zeland's capital outflow
Correct Answer:

Verified
Correct Answer:
Verified
Q38: If P = domestic prices,P* = foreign
Q41: According to purchasing-power parity,if the Federal Reserve
Q51: Which of the following is an example
Q65: From 1970 to 1998 the U.S.dollar<br>A)gained value
Q88: If a Starbucks tall latte cost $3.20
Q150: Which of the following is always correct?<br>A)Y
Q155: If a country has a trade deficit
Q416: The nominal exchange rate is 4 Saudi
Q417: After the 1980s, U.S. net capital outflow
Q418: Which of the following both reduce net