Which of the following statements is true?
A)Real GDP is a positive function of net exports.
B)In the 1980s, the United States experienced a large trade surplus with Japan.
C)Positive net exports mean that the domestic country imports more than it exports.
D)Total U.S.net exports with Western Europe are zero.
E)U.S.net exports are negative because of large trade deficits with other industrial nations.

Question

Quizplus · Accepted Answer

The statement "U.S.net exports are negative because of large trade deficits with other industrial nations" is true. The U.S. imports more goods and services than it exports, resulting in a negative net exports balance.

Which of the Following Statements Is True