If the United States Imports Another Good in Exchange for Assets

question 123

Multiple Choice

If the United States imports another good in exchange for assets transferred from an American bank to a foreign bank,in the U.S.balance of payments table

• A)the current account deficit rises and so the balance of payments deficit rises.
• B)the current and capital account deficits both rise and so the balance of payments deficit rises.
• C)the current and capital account deficits both rise and so the balance of payments is unaffected.
• D)the current account deficit rises by as much as the capital account surplus rises and the balance of payments is unaffected.
• E)the current and capital account deficits both fall and so the balance of payments deficit falls.

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Definitions:

Ubiquitous Learning

Learning that is available anywhere and at any time, often supported by mobile and digital technologies that facilitate access to educational content beyond traditional classroom settings.

Status Quo Compliance

The tendency to adhere to existing conditions or norms within a society or organization.

Concurrent Engineering

A systematic approach to product design and development where phases are done in parallel rather than sequentially, improving efficiency and reducing time to market.

Innovation Lags

The delay between the inception of a new idea or technology and its implementation or widespread adoption, which can hinder progress and competitiveness.