Your text considers both the low savings and high savings nations and concludes what about the relationship between government budgets and the current account?
What will be an ideal response?
The relationship isn't fixed. One does not cause the other in any necessary form.
You might also like to view...
What is an import quota?
What will be an ideal response?
The natural rate of unemployment: a. is the sum of both frictional and structural unemployment when they are at a maximum. b. includes only frictional unemployment
c. includes only structural unemployment. d. includes only cyclical unemployment.
Assuming all excess reserves are loaned out, currency holdings by the public are zero, and a reserve ratio of 2 percent, an initial deposit of $500 will lead to a total increase in deposits of:
A. $250. B. $5,000. C. $25,000. D. $50,000.
Three individuals have $1000 and identical preferences for gum, g, and cigarettes, s, as measured by the utility function U(g,s) = 10g0.9s0.1. The price of gum is $9 and the price of cigarettes is $12. What is the market surplus/shortage at a price of $12 when the supply of cigarettes is 5?
A) There will be a shortage of 3 cigarettes. B) There will be a surplus of 3 cigarettes. C) There will be a shortage of 2/3 cigarettes. D) There will be a surplus of 2/3 cigarettes.