A decrease in the interest rates in a country:

A) increases net exports.
B) does not affect net exports.
C) reduces net exports.
D) results in an inflow of capital to the country.

A

Economics

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If there are only two goods and these are consumed in fixed proportions, the price elasticities of demand for these two goods will sum to

a. 0.0 b. -0.5 c. -1.0 d. a number between 0 and -1.

Economics

Zach and Laura want to buy cars and go to the same dealer. The dealer perceives Zach's price elasticity of demand to be lower than Laura's. Which of the following statements will be true?

a. The dealer will quote the same price to both since individual characteristics do not matter. b. The dealer will quote a higher price to Laura because of her gender. c. The dealer will quote a higher price to Zach because his demand is less elastic. d. The dealer will quote different prices to both according to their bargaining tactics.

Economics