A nation's net international investment position is

Question

Quizplus · Accepted Answer

A nation's net international investment position is the difference between all foreign assets owned by a nation's citizens and domestic assets owned by foreign citizens. This includes assets such as stocks, bonds, real estate, and other investments. It is a comprehensive measure of a nation's economic relationship with the rest of the world and reflects the country's level of openness to international trade and investment.

Option B is incorrect because it refers to the current account balance, which is the difference between a country's exports and imports of goods and services. Option C is also incorrect because the net international investment position and the current account balance are different measures. Option D is incorrect because policy-driven interest rate changes can affect a nation's net international investment position by altering the flow of capital in and out of the country.

A Nation's Net International Investment Position Is