This year a country loaned more to the rest of the world than it borrowed from the rest of the world. In addition, the country has invested more in the rest of the world than other countries have invested in it. The country is currently a ________ and also a ________.
A) net lender; creditor nation
B) net borrower; creditor nation
C) net borrower; debtor nation
D) debtor nation; net lender

Question

Quizplus · Accepted Answer

The description of the country loaning more than it borrowed and investing more in the rest of the world than it received suggests that it is a net lender, meaning it is lending more money to others than it is borrowing. Additionally, since the country is loaning more money than it is borrowing, it is a creditor nation. Therefore, the best choice is A, which identifies the country as a net lender and creditor nation.

This Year a Country Loaned More to the Rest of the World