Canada's current account has recently been negative.This means that
A)investment is greater than saving in Canada.
B)saving is greater than investment in Canada.
C)Canadian trade partners also have a current account deficit.
D)the interest rate is higher in Canada compared to the United States.

Question

Quizplus · Accepted Answer

A negative current account means that a country is importing more goods and services than it is exporting, which would result in investment being greater than saving in the country. This is likely the case for Canada given its reliance on exports of commodities such as oil and natural gas, which have experienced lower prices in recent years.

Canada's Current Account Has Recently Been Negative