Last Year U

question 107

Multiple Choice

Last year U.S.net exports of goods and services was negative.This fact means that last year

• A)there was an error made when calculating net exports of goods and services for the United States.
• B)the value of U.S.exports was greater than the value of U.S.imports.
• C)the value of U.S.exports was less than the value of U.S.imports.
• D)U.S.consumption expenditure plus investment was less than the value of exports plus the value of imports.
• E)U.S.consumption expenditure plus investment plus government expenditures on goods and services was less than the value of exports plus the value of imports.

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Definitions:

Normal Rate

Typically refers to a baseline or standard rate of interest, production, or growth that is considered usual or expected under normal circumstances.

Minimum Efficient Scale

The smallest level of production at which a firm can achieve the lowest long-run average total cost.

Economic Costs

The total cost of choosing one action over another, comprising both the costs directly incurred and the opportunity costs forgone by not taking the alternative action.

Total Revenue

The total amount of money received by a company from its sales of goods or services before any expenses are subtracted.