The Change in U

question 43

Multiple Choice

The change in U.S. official reserves is equal to

• A) the current account balance minus the capital account balance.
• B) the current account balance plus the capital account balance.
• C) borrowing from abroad plus the current account deficit.
• D) foreign investment in the United States minus U.S. investment abroad.

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Definitions:

Principles

Fundamental truths or propositions that serve as the foundation for a system of belief, behavior, or reasoning.

Objective Credibility

The degree to which information or arguments are supported by factual evidence and can be verified independently.

Truthfulness

Truthfulness is the quality of being honest and transparent in one’s words and actions, ensuring accuracy and straightforwardness.

Observable Facts

Information or phenomena that can be noticed and verified through direct observation or evidence.