If net exports are positive
A) net foreign investment is also positive.
B) net foreign investment is negative.
C) capital inflows must be greater than capital outflows.
D) Both A and B are correct.
A
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You have found data that indicates that the income elasticity of demand for generic (unbranded) shampoo is -0.7. You should conclude that generic shampoo:
A. has inelastic demand. B. is below its equilibrium price. C. is an inferior good. D. is a normal good.
According to the Keynesian approach, an increase in taxes
A) will not impact consumption, as most consumption is autonomous. B) will reduce consumption by an amount less than the change in taxes. C) will increase consumption, as the government will spend the extra tax revenue and that increases consumption. D) will reduce consumption exactly by the amount of the taxes.
Income ________ along the demand curve.
A. decreases B. increases C. either increases or decreases D. is held constant
There are several institutional structures that promote and sustain economic growth. These factors include:
What will be an ideal response?