Canada's Balance of Payments Is Sometimes Incorrectly Said to Be

question 89

Multiple Choice

Canada's balance of payments is sometimes incorrectly said to be "in deficit." The reason this must be incorrect is that

• A)Canada's balance of payments has been in surplus for almost all of its history.
• B)unlike most countries,Canada's balance of payments is almost always balanced.
• C)like any other country in the world,Canada's balance of payments is always perfectly balanced.
• D)the Canadian government has long been committed to avoiding balance of payments deficits.
• E)it is not possible for capital flows to be in a deficit situation.

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Definitions:

Piaget

Refers to Jean Piaget, a Swiss psychologist known for his pioneering work in child development and his theory of cognitive development.

Infant Intelligence

The cognitive abilities and potential of babies and toddlers, including their capacity to learn, understand, and interact with their environment.

Object Permanence

The realization that objects persist in existence even when they are out of sight, sound, or any sensory perception.

Curse Of Knowledge

A cognitive bias where better-informed individuals find it difficult to see things from the perspective of less-informed individuals.