A Current Account Surplus Implies That

question 31

Multiple Choice

A current account surplus implies that

• A)the country is a net lender with the rest of the world.
• B)the country is running a net capital account surplus.
• C)foreign investment in domestic securities is at very low levels.
• D)All of the above.

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Definitions:

Proactive Interference

The phenomenon where old memories hinder the recall of newer memories.

Source-monitoring Error

A memory error where an individual cannot accurately recall the origin of a memory, leading to misattribution of the source.

Cryptomnesia

A memory bias that occurs when a person mistakenly believes a thought or idea is new or original, when it is actually a memory from the past.

Serial-position Effect

A psychological phenomenon where people tend to remember the first and last items in a series better than those in the middle.