A Current Account Surplus Is Favored Over a Deficit

question 57

Multiple Choice

A current account surplus is favored over a deficit. If a country is faced with a current account deficit it would have to ________ in order to support this situation.

• A) borrow from the IMF
• B) sell assets to foreigners
• C) divest stock in domestic corporations
• D) purchase stocks, bonds, and real estate in other countries
• E) issue negotiable instruments like bills of exchange

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Definitions:

Average Price

The central value of a set of prices, calculated as the sum of all prices divided by the number of prices.

Dietary Supplement

Products taken orally that contain dietary ingredients intended to supplement the diet, such as vitamins, minerals, herbs, or other botanicals.

Weight Loss

The process of losing body weight, typically through diet, exercise, or a combination of both strategies.

Margin of Error

A measure of the uncertainty or potential error in the results of a survey or experiment, often expressed as a plus-minus figure.