If Net Exports Are a Negative Number, Then

question 54

Multiple Choice

If net exports are a negative number, then:

• A) we are not buying enough exports.
• B) we are buying too many exports.
• C) GDP will underestimated when measured using the expenditure approach.
• D) we are exporting more than we are importing.
• E) we are exporting less than we are importing.

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Definitions:

Commodification

The process of treating something that was not previously considered as a sellable product as if it can be bought and sold in a market.

Subsidization

The provision of financial assistance or support by a government or organization to lower the cost of services or commodities.

Globalization

The process of interaction and integration among people, companies, and governments worldwide, often leading to increased connectivity and trade.

Freedom House

An independent watchdog organization dedicated to the expansion of freedom and democracy around the world.