A Large Open Economy Increases Its Investment Demand

question 85

Multiple Choice

A large open economy increases its investment demand.This causes the world real interest rate to ________ and the country's current account balance to ________.

• A)rise;fall
• B)remain unchanged;rise
• C)rise;rise
• D)remain unchanged;fall

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Definitions:

Morning People

individuals who have a natural preference for waking up early and are more alert and effective in the morning hours.

Evening People

Individuals who have a natural preference for staying up late and may perform better or feel more alert during the evening.

Tired

A physical or mental state of exhaustion or lack of energy, often resulting from hard work, physical exertion, or lack of sleep.

Inefficient

Lacking the ability to achieve desired results with minimal wasted effort or expense.