Net capital outflow (NCO) is:
A. capital inflow ? capital outflow.
B. capital outflow ? capital inflow.
C. foreign dollars invested domestically.
D. domestic dollars invested internationally.
B. capital outflow ? capital inflow.
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If Pepsi goes on sale and decreases its price by 10 percent, and as a result, the quantity demanded of Coca Cola decreases by 5 percent, then Pepsi and Coke are ________ goods
A) inferior B) normal C) substitute D) complementary E) unrelated
A shift in tastes toward foreign goods ________ net exports in the U.S. and causes the IS curve to shift to the ________ in the U.S., everything else held constant
A) decreases; right B) decreases; left C) increases; right D) increases; left
The slope of a line parallel to the horizontal axis is:
a. 1. b. 0. c. infinite. d. undefined.
You have one free movie to give away. Susie Wong would receive 75 units of utility from the pass while Ralph Zilda would get 90 units of utility from the pass. Movie tickets sell for $8 at the theater. You want to create the most satisfaction possible by giving away the pass. Who should the movie be given to?
a. Susie because her current utility is lower. b. Ralph because he will receive the most total utility. c. Ralph because his marginal utility per dollar is higher. d. Not Susie because her marginal utility is lower. e. There is not enough information to decide.