Multiple Choice
Assume that a war breaks out abroad, and foreign investors choose to invest more in a large safe country, the United States. Then, the U.S. real interest rate:
A) and net exports will both fall.
B) will fall and net exports will rise.
C) will rise and net exports will fall.
D) and net exports will both rise.
Correct Answer:

Verified
Correct Answer:
Verified
Q119: If net capital outflow is positive, then:<br>A)
Q120: If a U.S. corporation sells a product
Q121: In a small open economy, if the
Q122: Use the following to answer questions :<br>Exhibit:
Q123: Suppose that the large industrial countries of
Q125: Assume that the following equations characterize
Q126: A country's exports may be written as
Q127: In a small open economy, if domestic
Q128: Holding other factors constant, legislation to cut
Q129: A "small" economy is one in which