The current account surplus is
A) an increasing function of disposable income and an increasing function of the real exchange rate.
B) a decreasing function of disposable income and a decreasing function of the real exchange rate.
C) a decreasing function of disposable income and an increasing function of the real exchange rate.
D) only a decreasing function of disposable income.
E) only an increasing function of the real exchange rate.
C
You might also like to view...
Which of the following directly shifts the short-run aggregate supply curve?
A) a change in aggregate demand B) a change in the price level C) a change in resource prices D) all of the above
Recessions are commonly defined to occur
A) whenever unemployment increases. B) when growth in real GDP decreases for two consecutive quarters. C) when growth in real GDP is negative for two consecutive quarters. D) when the unemployment rate exceeds 6 percent.