While According to the Model the Current Account Balance Will

question 60

Multiple Choice

While according to the model the current account balance will be countercyclical, the balance can also decline due to:

• A)a temporary negative shock like a harvest failure.
• B)a less developed country having a low capital stock.
• C)a temporary increase in government purchases as in war time.
• D)all of the above.

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Definitions:

Deterministic System

A system in which no randomness is involved in the development of future states and the outcome is determined by initial conditions and natural laws.

System Scope

The boundary that defines the extent of a system's functionalities, objectives, and the users it supports.

Sophisticated Management Tools

Advanced software or methodologies used by managers to improve efficiency, productivity, or decision-making in organizations.

Project Uncertainty

The degree of unpredictability in achieving the project outcomes due to unknown variables or factors that can affect the project's scope, schedule, cost, and quality.