A Canadian oil company hires geological survey services from the United States.If all else remains equal,this will

Question

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Hiring geological survey services from the US will result in a transaction where Canada is exporting Canadian dollars and importing US dollars. This will increase net exports and have a positive impact on the balance of trade. However, it will also decrease the current account balance as imports are needed for the service. It is unlikely to have a significant impact on the financial account unless there are significant investments made related to the survey.

A Canadian Oil Company Hires Geological Survey Services from the United