In a Small Open Economy, If Domestic Investment Exceeds Domestic

question 30

Multiple Choice

In a small open economy, if domestic investment exceeds domestic saving, then the extra investment will be financed by:

• A)borrowing from abroad.
• B)lending from abroad.
• C)the domestic government.
• D)the World Bank.

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Definitions:

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A self-help group aimed at assisting its members in achieving and maintaining sobriety.