Which of the following is true of a current account surplus?
a. A country that is running a current account surplus will have negative net exports
b. A current account surplus is consistent with domestic spending being in excess of domestic production.
c. A current account surplus means that a country is also running a net surplus in its financial account.
d. A country can have a current account surplus only if it exports more services as compared to goods.
e. A country that is running a current account surplus buys more bonds from the rest of the world as compared to what it sells.
e
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Refer to Table 5.1. Andrea has a comparative advantage in the production of
A) bracelets. B) tiaras. C) both products. D) neither product.
The figure above shows the demand for and supply of labor of students in Smallville. If the minimum wage is set at $4 per hour, how many hours do students work?
A) 12,000 hours B) 9,000 hours C) 6,000 hours D) None of the above answers is correct.
Investment is an economic term for the act of increasing the stock of money available for business loans
a. True b. False Indicate whether the statement is true or false
When the production possibilities curve is a straight line, the opportunity cost of producing more of one good must be equal to the opportunity costs of producing more of the other good
Indicate whether the statement is true or false