Which of the Following Statements Defines Trade Balance

question 47

Multiple Choice

Which of the following statements defines trade balance?

• A)The trade balance is the sum of the services balance,the current account balance,and the capital account balance.
• B)The trade balance is merchandise exports minus merchandise imports.
• C)The trade balance is the sum of the current account balance and the capital account balance.
• D)The trade balance is foreign purchases of domestic assets minus domestic purchases of foreign assets.
• E)The trade balance is the sum of the services balance and the capital account balance.

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Definitions:

Federal Trade Commission Act

A United States federal law established in 1914 to prevent unfair competition and deceptive practices in the marketplace, creating the Federal Trade Commission.

Robinson-Patman Act

A United States federal law enacted in 1936 to prohibit anticompetitive practices by producers, specifically price discrimination.

Lanham Act

A United States law enacted in 1946 that protects trademarks, service marks, and related intellectual property.

Regulation

Restrictions state and federal laws place on a business with regard to the conduct of its activities.