If the U.S. has a capital account surplus, it means that
A. foreigners purchase more of U.S. assets than U.S. residents purchase foreign assets.
B. U.S. exports of capital goods exceed its imports of capital goods.
C. U.S. residents purchase more foreign assets than foreigners purchase U.S. assets.
D. the quantity supplied of U.S. financial assets exceed the quantity demanded.
Ans: A. foreigners purchase more of U.S. assets than U.S. residents purchase foreign assets.
You might also like to view...
To calculate the price elasticity of demand we divide
A) the average price by the average quantity demanded. B) the percentage change in quantity demanded by the percentage change in price. C) rise by the run. D) the percentage change in price by the percentage change in quantity demanded.
If a country is currently producing inside its production possibilities curve
A) it can increase the production of both goods by putting unemployed resources to work. B) it can increase the production of one of the goods only if it reduces the production of the other good. C) it is experiencing efficient production of one good but not the other. D) None of the above are correct.
Studies show that
A) mergers create considerable shareholder value. B) mergers lead to economic profit. C) mergers generally do not create shareholder value. D) 'dogs' and 'cash cow' do not need to be merged.
Clark wishes to buy books and pens. Clark's best choice would be: a. choosing a consumption bundle that lies above the budget line
b. choosing a consumption bundle that lies below the budget line. c. choosing the consumption bundle where his highest indifference curve is tangent to the budget line. d. choosing the consumption bundle where his lowest indifference curve first intersects the budget line.