Which Statement Best Describes the Current Account Balance in the Short

question 21

Multiple Choice

Which statement best describes the current account balance in the short run?

• A) Monetary expansion lowers the current account balance.
• B) Monetary expansion keeps the current account balance the same.
• C) Fiscal expansion increases the current account balance.
• D) Fiscal expansion keeps the current account balance the same.
• E) Monetary expansion increases the current account balance.