A Main Reason Why the U

question 49

Multiple Choice

A main reason why the U.S.trade deficit grew so large from 1997 to 2000 was that

• A)Congress removed all tariffs and trade restrictions on imports.
• B)NAFTA was introduced and Mexican exports flooded the United States.
• C)the international value of the dollar fell during the 1990s, which encouraged U.S.exports.
• D)the international value of the dollar rose in the last half of the 1990s, which encouraged U.S.imports and damaged U.S.exports.

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Definitions:

Par Value

a nominal value assigned to a share of stock or a bond, often used in legal documents.

Common Stock

A type of equity security that represents ownership in a corporation, giving the holder a share in the company's profits through dividends and/or capital appreciation.

Common Stock

A form of corporate equity ownership, a type of security that represents ownership in a corporation and a claim on part of the corporation's profits.