If the US Continually Runs a Bilateral Trade Deficit with Japan, Then

question 61

Multiple Choice

If the U.S. continually runs a bilateral trade deficit with Japan, then

• A) Japan's trade policies must be unfair to the United States.
• B) the United States is worse off as the result of its trade with Japan.
• C) Japan is the low-cost supplier of goods that we import intensively.
• D) both a and b are true.

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Definitions:

Capital Expenditures

Funds used by a company to acquire or upgrade physical assets such as property, industrial buildings, or equipment.

Net Cash Provided

The amount of cash generated from a company's operating, investing, and financing activities during a specific period.

Free Cash Flow

The amount of cash generated by a business after accounting for operational expenses and capital expenditures, available for shareholders, reinvestment, or debt repayment.

Net Cash Provided

The surplus amount of cash generated by an entity's operations after accounting for all outgoing and incoming cash flows.