In a small open economy,when exports exceed imports,all of the following are true EXCEPT

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In a small open economy, when exports exceed imports, it means that net exports are positive, which is consistent with domestic output exceeding domestic spending and with net capital outflows being positive. However, it does not necessarily mean that domestic investment exceeds domestic saving. In fact, when exports exceed imports, it typically indicates that domestic saving exceeds domestic investment, as the excess saving is used to finance the purchase of foreign assets.

In a Small Open Economy,when Exports Exceed Imports,all of the Following