During this year a country reports imports of $1,000 billion, exports of $1,100 billion, foreign investment in the country of $900 billion, investment abroad of $1,200 billion, net interest and net transfers of zero

What matters in Economics is:

a. how much gain a transaction yields. b. how the gains from a transaction are split between the buyer and the seller. c. how much gain the buyer realizes from a transaction. d. that the transaction between a buyer and a seller takes place.

Paying off the national debt brings about a(n)

a. increase in the money supply. b. redistribution of income. c. economic contraction. d. upward push on interest rates.