What kind of country would most likely have a "small open economy"?
A)a country that trades with other countries and has consistently a trade surplus.
B)a country that trades with other countries and has consistently a trade deficit.
C)a country that trades with other countries and has a significant effect on world prices
D)a country that trades with other countries, but has a negligible effect on world prices.

Question

Quizplus · Accepted Answer

A "small open economy" is characterized by its ability to trade with other countries while having a negligible effect on world prices, meaning its economic activities do not influence global markets significantly.

What Kind of Country Would Most Likely Have a "Small