A Financial Account Surplus Necessarily Implies

question 81

Multiple Choice

A financial account surplus necessarily implies

• A)a balance of payments surplus.
• B)a current account surplus.
• C)a current account deficit.
• D)an increase in the nation's official reserve assets.

---

Definitions:

Barriers To Entry

Obstacles that make it difficult for new competitors to enter a market, including high start-up costs, regulatory requirements, and established brand loyalty.

Economic Profit

The difference between a firm's total revenues and its total costs, including both explicit and implicit costs, representing an excess return over and above normal profits.

Price Takers

Firms or individuals who accept the market price as is because they do not have enough market power to influence the price of the goods or services they sell.