If the United States sells computers to Russia, and uses the proceeds to buy shares of stock in Russian companies, the U.S. trade balance ________ and the U.S. financial account balance ________

A) rises; rises
B) rises; falls
C) falls; falls
D) falls; rises

B

Economics

You might also like to view...

Within the Keynesian cross, the adjustment towards equilibrium occurs through:

A) inflation. B) inventories. C) interest rates. D) none of the above.

Economics

A negative income elasticity implies that the good is an inferior good.

Answer the following statement true (T) or false (F)

Economics