Other Things Being Equal, an Increase in the Current Account

question 6

Multiple Choice

Other things being equal, an increase in the current account deficit could be due to

• A)a fall in the government's budget deficit.
• B)a fall in domestic investment.
• C)a rise in the budget surplus.
• D)an increase in private saving.
• E)a decrease in private saving.

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Definitions:

Medulla

The lower part of the brainstem, controlling vital functions such as heartbeat and breathing.

Heartbeat and Breathing

The physiological functions of the cardiovascular and respiratory systems, signifying the rhythm of the heart and the inhalation-exhalation cycle of breathing.

Neurotransmitters

Chemical substances in the nervous system that transmit signals between neurons or from neurons to muscles, affecting various bodily functions and behaviors.

Prolactin

A hormone produced by the pituitary gland that stimulates milk production in breastfeeding mothers and affects various other bodily functions.