Multiple Choice
In an economy open to international trade ________.
A) saving is net exports added to investment
B) saving equals investment as long as NX=0
C) the domestic real interest rate should equal the world real interest rate as long as there is perfect capital mobility
D) all of the above
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q23: Suppose consumption is $500 billion,investment is $120
Q24: Suppose the world economy is divided into
Q25: If we observe an economy in which
Q26: If desired saving increases in a small
Q27: Suppose GDP is $800 billion,net taxes equal
Q29: In an economy open to international trade
Q30: If there is a decrease in world
Q31: An increase in _ in an open
Q32: Suppose an economy has a GDP of
Q33: If taxes are reduced,will most people save