If Canada Acquired Net Foreign Assets of $50 Billion in One

question 81

Multiple Choice

If Canada acquired net foreign assets of $50 billion in one year,this would be the equivalent of

• A)net imports of $50 billion.
• B)net foreign borrowing of $50 billion.
• C)a capital account deficit of $50 billion.
• D)a current account deficit of $50 billion.

---

Definitions:

Reciprocity

The exchange of resources, goods, and services among people of relatively equal status; meant to create and reinforce social ties.

Universality

The quality of being true or applicable in all situations, cultures, or cases.

Conformity

Conformity is the act of matching attitudes, beliefs, and behaviors to group norms or expectations, often exerting a powerful influence on individual actions and decisions.

Information Processing

A framework in psychology and cognitive science that describes how the mind processes incoming information, makes decisions, and forms memories.