If the United States has a current account deficit and the capital account is zero, which of the following must be true?
A) The balance on the financial account must equal the balance on the current account.
B) Domestic public saving must be less than net foreign investment.
C) Net foreign investment must be negative as well.
D) Domestic private saving must be less than net foreign investment.
C
Economics
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The above figure shows the apartment rental market in Bigtown. If the Bigtown Housing Authority imposes a rent ceiling of $500 per apartment, the deadweight loss will be
A) $1,000,000. B) $500,000. C) $250,000. D) $125,000.
Economics
If you deposit $100 of currency into a demand deposit at a bank, this action by itself
a. does not change the money supply. b. increases the money supply. c. decreases the money supply. d. has an indeterminate effect on the money supply.
Economics