A Small Open Economy Has a Current Account Balance of Zero.A

question 34

Multiple Choice

A small open economy has a current account balance of zero.A rise in its investment demand causes

• A)a current account surplus.
• B)a capital account deficit.
• C)income to exceed absorption.
• D)net borrowing from abroad.

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Definitions:

Strictness Error

A bias in performance appraisal where the evaluator tends to judge all employees more harshly than their performance warrants.

High Ratings

Refers to evaluations or assessments that are significantly above average, often indicating superior performance or quality.

Job Design

Job design is the process of specifying job tasks and work arrangements.

Organizational Requirements

The necessary conditions, resources, and capabilities needed for an organization to operate or achieve its objectives.