Choose the Statement That Is Incorrect

question 28

Multiple Choice

Choose the statement that is incorrect.

• A)The world's largest net borrower is the United States.
• B)Canada is a net borrower.
• C)China is a net lender.
• D)Saudi Arabia is a net lender.
• E)Japan is a net borrower.

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Definitions:

Laspeyres Price Index

An economic index that calculates the change in the price level of a basket of goods and services based on the prices and quantities consumed in a base period.

Consumptions

The process of using goods and services to satisfy wants or needs, often measured as an important component of economic activity.

Base Year

A base year is a specific year against which economic growth is measured, often used as a reference point for the calculation of index numbers.

Initial Endowment

The initial quantity of goods, services, wealth, or resources that an individual or entity possesses.