Which of the Following Is an Organized Pattern of Knowledge

question 124

Multiple Choice

Which of the following is an organized pattern of knowledge that an individual holds as true about his or her world?

• A) belief
• B) value
• C) affect
• D) attitude
• E) descriptor

Explain the relationship between national saving, domestic investment, net capital outflow, and their interaction within an open economy.

Understand how government budget deficits impact the open economy, including effects on real interest rates, domestic investment, and trade balance.

Comprehend the relationship between tax credits for investment and shifts in the demand for loanable funds and supply of dollars in the foreign-currency exchange market.

Recognize the effects of capital flight on demand for loanable funds, supply of dollars, and net capital outflows in the foreign-currency exchange market.

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Definitions:

Opportunity Cost

The cost of foregone alternatives when a choice is made, represented by the benefits that could have been received by choosing the next best alternative.

Soybeans

Refers to a type of legume native to East Asia, widely grown for its edible bean which has numerous uses.

Comparative Advantage

The ability of a country or individual to produce a particular good or service at a lower opportunity cost than others.

Absolute Advantage

The capability of a country, individual, company, or region to produce a good or provide a service more efficiently than its competitors when using the same amount of resources.