Exhibit: Saving and Investment in a Small Open Economy

Reference: Ref 5-1
(Exhibit: Saving and Investment in a Small Open Economy) In a small open economy, if the world interest rate is r ,
Then the economy has:
A)a trade surplus.
B)balanced trade.
C)a trade deficit.
D)negative capital outflows.

Question

Exhibit: Saving and Investment in a Small Open Economy

Reference: Ref 5-1
(Exhibit: Saving and Investment in a Small Open Economy) In a small open economy, if the world interest rate is r ,
Then the economy has:
A)a trade surplus. 
B)balanced trade. 
C)a trade deficit. 
D)negative capital outflows.

Quizplus · Accepted Answer

The Answer of Exhibit: Saving and Investment in a Small Open Economy

Reference: Ref 5-1
(Exhibit: Saving and Investment in a Small Open Economy) In a small open economy, if the world interest rate is r ,
Then the economy has:
A)a trade surplus. 
B)balanced trade. 
C)a trade deficit. 
D)negative capital outflows.