____ in Federal Reserve Float Causes A(n) ____ in Bank

question 17

Multiple Choice

____ in Federal Reserve float causes a(n) ____ in bank funds.

• A) increase; increase
• B) increase; decrease
• C) decrease; decrease
• D) A and C

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Definitions:

Trade Surplus

A situation where a country's exports exceed its imports, indicating that it is selling more goods and services to other countries than it is buying.

U.S. Exports

Goods, services, and capital sent from the United States to other countries, contributing to the country's economy.

Net Capital Outflow

The difference between a country's savings and its domestic investments, representing the amount of money that flows out of the country to invest abroad minus the amount of money that flows into the country from foreign investors.

Net Exports

The value of a country's total exports minus its total imports; a measure of a nation's foreign trade balance.