An Increase in the UK Government Budget Deficit

question 2

Multiple Choice

An increase in the UK government budget deficit

• A) Increases UK net exports and decreases UK net capital outflow.
• B) Decreases UK net exports and UK net capital outflow the same amount.
• C) Increases UK net exports and UK net capital outflow the same amount.
• D) Decreases UK net exports and increases UK net capital outflow.

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Definitions:

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