The US Has a Trade Surplus

question 447

Multiple Choice

The U.S. has a trade surplus. Which of the following is correct?

• A)capital is flowing into the U.S. and S > I
• B)capital is flowing into the U.S. and S < I
• C)capital is flowing out of the U.S. and S > I
• D)capital is flowing out of the U.S. and S < I

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Definitions:

Earnings Per Share

A financial metric that measures the amount of net income earned for each share of a company's common stock.

Net Income

The amount of earnings left over for a company after all expenses and taxes have been subtracted from revenues.

Original Sale

The initial sale of a product or service from a producer or provider to the first purchaser or consumer.

Stock Repurchase

A company's buyback of its own shares from the marketplace, reducing the amount of outstanding stock and potentially increasing share value.