Net Foreign Investment Minus Net Foreign Portfolio Investment Is Equal

question 74

Multiple Choice

Net foreign investment minus net foreign portfolio investment is equal to

• A)capital outflows.
• B)net foreign financial investment.
• C)the balance of trade.
• D)net foreign direct investment.

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Definitions:

Monetary Transactions

Financial activities involving the transfer of money from one party to another, can include both domestic and international transactions.

Final Goods

Products or goods that are ready for sale to the end consumer and will not be transformed into another product.

Economy

The system by which goods and services are produced, distributed, and consumed in a society.

GDP Deflator

An economic metric that converts output measured at current prices into constant-dollar GDP, removing the effects of inflation to compare one period with another.