A Current Account Deficit Implies That

question 7

Multiple Choice

A current account deficit implies that

• A)the country is a net lender with the rest of the world.
• B)the country is running a net capital account surplus.
• C)foreign investment in domestic securities is at very low levels.
• D)All of the above.

---

Definitions:

Classical Conditioning

Form of learning in which a neutral stimulus becomes associated with a stimulus that naturally elicits a response, thereby making the neutral stimulus itself sufficient to elicit the same response.

Operant Conditioning

A learning process through which the strength of a behavior is modified by reinforcement or punishment.

Social-cognitive Learning

Learning through observing others’ behaviors, attitudes, and outcomes of those behaviors, emphasizing the importance of cognitive processes.

Prepared Classical Conditioning

A learning process in which a biological predisposition to learn certain associations exists because it has survival value.