Which of the Following Is a Reason That Developing Countries

question 104

Multiple Choice

Which of the following is a reason that developing countries are running large surpluses?

• A) They are required to do so by IMF.
• B) They have defaulted on international loans.
• C) They have pegged exchange rates and thus the growth of exports must drive surplus up.
• D) They have a strong desire to accumulate international reserves to protect against a sudden stop of capital inflows.
• E) They don't know how to manage their surpluses.

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Definitions:

Stationary Windings

Fixed coils of wire in an electric motor or generator that contribute to magnetic field production when current flows through them.

Voltage Regulator

Controls voltage in a circuit either electromechanically (obsolete) or electronically.

Loose Belt(s)

A condition where drive belts in machinery or vehicles lack proper tension, leading to slippage and reduced efficiency.

Defective Diode

A defective diode is a faulty electronic component that fails to conduct electricity in only one direction as intended, potentially causing circuit malfunctions.