In a Small Open Economy in Equilibrium

question 32

Multiple Choice

In a small open economy in equilibrium:

• A)saving is fixed, and investment is determined by the investment function and the world interest rate.
• B)investment is fixed, and saving is determined by the saving function and the world interest rate.
• C)saving is fixed, and investment is determined by the trade balance.
• D)investment is fixed, and saving is determined by the trade balance.

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Definitions:

Ecclesia

A term often used to describe a dominant religious organization that is recognized as the national or state religion.

Roman Catholicism

A major denomination of Christianity, led by the Pope, with doctrines and practices based on the Bible and Roman Catholic tradition.

Hinduism

A major world religion originating on the Indian subcontinent, characterized by a diverse array of beliefs, practices, and sects.

Symbolic Interactionist

A sociological perspective focusing on the symbolic meaning that individuals develop and rely upon in the process of social interaction, emphasizing how selves, societies, and social realities are constructed.