A Very Small Country Is a Net Foreign Lender and Its

question 20

Multiple Choice

A very small country is a net foreign lender and its supply of loanable funds increases.As a result,the equilibrium quantity of loanable funds used in the country ________ and the country's foreign lending ________.

• A)increases;decreases
• B)does not change;does not change
• C)does not change;increases
• D)increases;does not change
• E)does not change;decreases

---

Definitions:

Restating

The act of repeating or paraphrasing what someone else has said to ensure understanding or to provide clarity.

Direct Question

A straightforward inquiry that aims to elicit a specific response, typically used in assessments or interviews.

Personal Questions

Inquiries that delve into an individual's private, personal or sensitive matters, which can be too intrusive if not appropriately timed or contextually relevant.

Interviews

A method of gathering information through direct conversation, asking questions to obtain detailed responses.