Current Account Deficits

question 65

Multiple Choice

Current account deficits:

• A)also result in a capital account deficit of the same size.
• B)result in a capital account surplus of the same size.
• C)may result in either a capital account surplus or deficit.
• D)result because exports exceed imports.
• E)result because government spending exceeds tax revenue.

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Definitions:

Legal Doctrine

A framework, set of rules, procedural steps, or test, often established by precedent in the common law, for making a determination in a lawsuit.

Employers Liable

Pertains to the legal responsibility of employers for the actions of their employees and for providing a safe working environment.

National Labor Relations Act

A foundational statute in United States labor law that guarantees workers the right to form unions, engage in collective bargaining, and take collective action such as strikes.

Bargaining Power

The relative capacity of parties in a negotiation to exert influence over each other. If one party is significantly stronger than the other, they are said to have greater bargaining power.