When the Foreign Exchange Market Is in Equilibrium, Which of the Following

question 42

Multiple Choice

When the foreign exchange market is in equilibrium, which of the following will be true?

• A)imports + exports = net capital inflow
• B)imports - exports = net capital inflow
• C)imports - budget deficit = net savings
• D)imports + investment = exports + savings

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Definitions:

Participate

To take part or become involved in a particular activity, event, or situation.