By Continually Running Current Account Deficits, Australia

question 40

Multiple Choice

By continually running current account deficits, Australia:

• A) has been experiencing a lower standard of living than it otherwise might have.
• B) has encouraged continual capital account deficits.
• C) is accumulating more assets overseas than foreign interests accumulate here.
• D) is effectively spending more than it is earning.

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Definitions:

Issues Management

The process of identifying, managing, and responding to issues that could potentially harm an organization's reputation or financial wellbeing.

Company's Reputation

The general public's perception of a company's credibility, reliability, and trustworthiness.

Corporate Litigation

Legal disputes involving companies, typically related to contracts, intellectual property, product liability, or other business activities.

Crisis

A significant threat to operations that can have long-term, negative consequences to the company or organization involved.