If net exports are negative,
A) net foreign investment is positive.
B) capital inflows must be less than capital outflows.
C) net foreign investment is also negative.
D) Both A and B are correct.
C
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Under the gold standard, if the demand for U.S. goods increased, which of the following would happen?
A) Gold would flow into the United States. B) The U.S. monetary base would decline. C) Prices in the United States would fall. D) The United States would experience a balance of trade deficit.
For a firm in a perfectly competitive industry
A) the demand curve is unitary elastic throughout. B) marginal revenue and product price are equal at every level of output. C) the price elasticity of demand is zero. D) more output can be sold only if the firm unilaterally lowers its product price.
Which of the following acts required that financial derivatives be traded in established, regulated markets?
a. Glass-Steagall Banking Act b. Gramm-Leach-Bliley Financial Services Modernization Act c. Dodd-Frank Wall Street Reform and Consumer Protection Act d. Celler-Kefauver Financial Reform Act
Other things the same, a decrease in the real interest rate raises the quantity of
a. domestic investment and net capital outflow. b. domestic investment but not net capital outflow. c. net capital outflow but not domestic investment. d. neither domestic investment nor net capital outflow.