Which of the following equations is true in an open economy?
A) Net exports = -Financial account balance.
B) National saving = net capital flows.
C) Net exports = net foreign investment.
D) Private saving = net foreign investment + domestic investment.
C
Economics
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If the production possibilities curve is a downward-sloping straight line, that would indicate
a. that society cannot decide which good it prefers b. an absence of scarcity c. constant opportunity cost d. inefficiency e. specialization
Economics
If price falls, what happens to the demand for a product?
a. It increases. b. It decreases. c. It does not change. d. Uncertain--economic theory has no answer to this question.
Economics