Which of the Following Would Be a Legitimate Government Activity

question 148

Multiple Choice

Which of the following would be a legitimate government activity in the U.S.economy?

• A)The provision of public goods and services.
• B)The regulation of water pollution.
• C)Enforcing child labor laws.
• D)All of the choices are correct.

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Definitions:

Net Exports

The value of a country's total exports minus the value of its total imports. It is a measure of a nation's foreign trade balance.

Net Capital Outflow

The net flow of funds used for investments in foreign assets by a country minus the flow of investment funds into the country from abroad within a specified timeframe.

Foreign Assets

Investments or ownerships in enterprises, securities, or properties located outside the investor's domestic country.

Real Exchange Rate

The rate at which two currencies can be exchanged, adjusted for their countries' respective inflation rates, to purchase an equivalent quantity of goods and services.