A Current Account Deficit Occurs When a Country Exports More

question 42

True/False

A current account deficit occurs when a country exports more goods and services and receives more income from abroad than it imports and pays abroad.

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Definitions:

Construct Validity

The degree to which a test measures what it claims to be measuring, specifically the ability of a measurement tool to actually measure the theoretical construct it intends to measure.

Criterion-related Validity

The extent to which a test's scores correlate with another measure or outcome that it is theoretically expected to predict.

Content Validity

The degree to which a test or measure reflects the entire range of material it is supposed to be testing.

Content Validity

The extent to which a test or questionnaire accurately covers or represents the specific content it aims to measure.