Allied ecn151 Module 7 Check Your Understanding

Question If a nation is selling more goods and services to foreigners than it is buying from them, then on net it must be buying assets abroad. a. True b. False 2. If saving is greater than domestic investment, then: a. there is a trade deficit and Y > C I G. b. there is a trade deficit and Y < C I G. c. there is a trade surplus and Y > C I G. d. there is a trade surplus and Y < C I G. 3. If interest rates rose more in Germany than in the U.S. and other things remaine...

Question If a nation is selling more goods and services to foreigners than it is buying from them, then on net it must be buying assets abroad. a. True b. False 2. If saving is greater than domestic investment, then: a. there is a trade deficit and Y > C I G. b. there is a trade deficit and Y < C I G. c. there is a trade surplus and Y > C I G. d. there is a trade surplus and Y < C I G. 3. If interest rates rose more in Germany than in the U.S. and other things remaine...