In an Open Economy, National Saving Equals

question 124

Multiple Choice

In an open economy, national saving equals

• A)domestic investment plus net capital outflow.
• B)domestic investment minus net capital outflow.
• C)domestic investment.
• D)net capital outflow.

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Definitions:

Comparability

The ability of financial information to be used in comparing the financial statements of entities to evaluate financial performance and position.

Legal System

The comprehensive system of rules and principles which govern a specific country or community, guiding the administration of justice and regulatory affairs.

Financial Reporting

The process of producing statements that disclose an organization's financial status to management, investors, and the government.