A U.S. financial account deficit means that the dollar amount of
A) U.S. purchases of foreign financial assets and real property abroad exceeds foreign purchases of U.S. financial assets and real property in the United States.
B) foreign investments in the United States exceeds the dollar amount of U.S. investments abroad.
C) U.S. purchases of foreign financial assets and real property abroad is less than foreign purchases of U.S. financial assets and real property in the United States..
D) imported goods exceeds that of exported goods.
E) U.S. gifts to foreigners exceeds the amount of unilateral transfers Americans receive from abroad.

Question

Quizplus · Accepted Answer

A financial account deficit means that the United States is spending more on purchasing foreign financial assets and real property abroad than it is receiving from foreign countries purchasing U.S. financial assets and real property. This is reflected in a negative balance in the financial account of the balance of payments.

A US Financial Account Deficit Means That the Dollar Amount of of