The balance of payments is in equilibrium when
A) the sum of the current account balance and capital account balance is zero.
B) net exports are zero.
C) net foreign investment is zero.
D) real foreign investment is equal to net exports.
A
You might also like to view...
In the above table, which technique is technologically inefficient?
A) Technique W B) Technique X C) Technique Y D) Technique Z
If Justin is willing to pay as much as $100 for a ticket to see the Rolling Stones, but is able to buy a ticket for $55, then he has a(n)
a. consumer surplus of $45 b. consumer deficit of $45 c. marginal utility of $45 d. marginal utility of $55 e. total utility of $155
Investment is a flow of resources into the production of new capital
a. True b. False Indicate whether the statement is true or false
The simple deposit expansion multiplier is really too simple for understanding the link between changes in a central bank's balance sheet and the quantity of money in the economy because it:
A. assumes banks hold excess reserves. B. ignores changes in vault cash. C. ignores how central banks could change their balance sheet. D. ignores the fact people might change their currency holdings.