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A Country Has Imports of Goods and Services at $2,000

Question 22

Multiple Choice

A country has imports of goods and services at $2,000 billion. The interest paid to the rest of the world is $500 billion. The interest received from the rest of the world is $400 billion. The decrease in official reserves is $10 billion. The government sector balance is $200 billion, saving is $1,800 billion, investment is $2,000 billion, and net transfers is zero. Using this information, what is the capital account balance?


A) -$10 billion
B) $10 billion
C) $90 billion
D) -$200 billion
E) -$90 billion

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