If Foreigners Decide That They No Longer Want to Acquire

question 132

Multiple Choice

If foreigners decide that they no longer want to acquire U.S. financial assets, we can expect the value of the dollar to:

• A)fall and the trade deficit to fall.
• B)fall and the trade deficit to rise.
• C)rise and the trade deficit to fall.
• D)rise and the trade deficit to rise.

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Definitions:

Minimize Exposure

Taking steps to limit one's contact with potentially hazardous substances or situations to reduce risk of harm.

Negative Outcomes

Undesirable or harmful results or effects stemming from an action, decision, or situation.

Quality Procedures

Standardized methods and practices designed to ensure that products or services meet prescribed standards of quality.

Petty Cash Fund

A small amount of cash on hand used for covering minor expenses in an organization.