Allied ecn151 Module 7 Check Your Understanding latest 2015 November

Jun 17th, 2016
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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 remained the same, then: a. U.S. citizens would buy more German bonds and German citizens would buy more U.S. bonds. b. U.S. citizens would buy more German bonds and German citizens would buy fewer U.S. bonds. c. U.S. citizens would buy fewer German bonds and German citizens would buy more U.S. bonds. d. U.S. citizens would buy fewer German bonds and German citizens would buy fewer U.S. bonds. 4. Although trade policies do not affect a country's overall trade balance, they do affect specific firms and

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Allied ecn151 Module 7 Check Your Understanding latest 2015 NovemberReport this Question as InappropriateQuestionIf a nation is selling more goods and services to foreigners than it is buying from them, then onnet it must be buying assets abroad.a. Trueb. False2. 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 remained the same,then:a. U.S. citizens would buy more German bonds and German citizens would buy more U.S.bonds.b. U.S. citizens would buy more German bonds and German citizens would buy fewer U.S.bonds.c. U.S. citizens would buy fewer German bonds and German citizens would buy more U.S.bonds.d. U.S. citizens would buy fewer German bonds and German citizens would buy fewer U.S.bonds.4. Although trade policies do not affect a country's overall trade balance, they do affect specificfirms and industries.a. Trueb. False5. Trade policies:a. alter the trade balance because they alter imports of

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