A US Firm Buys Wool from Australia with U

question 422

Multiple Choice

A U.S. firm buys wool from Australia with U.S. currency. The Australian firm then uses this money to buy electric shears from a U.S. firm. Which of the following increases?

• A)Australian net capital outflow and Australian net exports
• B)only Australian net exports
• C)only Australian net capital outflow
• D)neither Australian net exports nor Australian capital outflow

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Definitions:

NIH

The National Institutes of Health, a part of the U.S. Department of Health and Human Services, is the primary federal agency conducting and supporting medical research.

Pillbox

A small container used to store pills, often designed with compartments for different days of the week or times of day.

Application

The act of applying or a formal request for something, typically a job, membership, or permission to use software.

Inhalants

Substances that produce chemical vapors, which, when inhaled, can cause mind-altering effects and are often misused.