A Nation's Current Account Is an Account That Tracks Payments

question 49

Multiple Choice

A nation's current account is an account that tracks payments for

• A) real and financial assets as well as extensions of international loans.
• B) goods and services as well as income from loans.
• C) real financial assets and gift transfers.
• D) assets,goods,and services as well as income from loans and investments.
• E) goods and services,current income from investments,and gifts.

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Definitions:

Linear Island Chain

A series of islands arranged along a straight or nearly straight line, often formed by volcanic activity along a submarine ridge.

Fracture Zone

An area in oceanic or continental crust characterized by cracks and faults due to tectonic stresses, often associated with earthquake activity.

Plate Boundary

The edges where tectonic plates meet, which can be sites of earthquakes, volcanoes, and mountain building.

Pacific Ring

A region encircling the Pacific Ocean characterized by active volcanoes and frequent earthquakes, known as the Pacific Ring of Fire.