Over its history, suppose that France has borrowed more from the rest of the world than it has lent to the rest of the world.This means that France
A) has realized continuous deficits in its current account.
B) has realized continuous surpluses in its goods and services account.
C) has a very large unilateral transfers balance.
D) is a net-creditor nation.

Question

Quizplus · Accepted Answer

When a country has borrowed more than it has lent, it means it has been running current account deficits, which implies that it is importing more goods and services than it is exporting.

Over Its History, Suppose That France Has Borrowed More from the Rest