Which of the Following Causes a Currency Inflow?​

question 9

Multiple Choice

Which of the following causes a currency inflow?​

• A) ​purchase of short-term foreign securities
• B) ​dividends paid to foreign investors
• C) ​a debit balance
• D) ​dividends received from foreign investments

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Definitions:

Negative Externality

A cost that is suffered by a third party due to an economic transaction, where the cost is not reflected in the transaction's final price.

Marginal Social Cost

The total cost society bears for the production of an additional unit of a good, including both direct costs to the producer and external costs to others.

Efficient Output

The level of production at which a company or economy can produce the maximum amount of goods at the lowest cost.

Lawn Maintenance

The routine care and upkeep of a lawn, including mowing, watering, fertilization, weed control, and other activities to ensure healthy growth and appearance.