Which of the following is a correct statement?
A)Wealth can increase even if there is no saving.
B)An increase in net foreign assets always increases wealth.
C)Low U.S.national saving is the principal cause of the trade deficits the U.S.has run since the 1980s.
D)The U.S will be a net debtor nation for the foreseeable future.
E)all of the above

Question

Quizplus · Accepted Answer

All statements are correct. Wealth can increase without saving through asset appreciation. An increase in net foreign assets does increase a nation's wealth. Low U.S. national saving has been a significant factor in the trade deficits since the 1980s. Given current trends, it is likely the U.S. will remain a net debtor nation for the foreseeable future.

Which of the Following Is a Correct Statement