If Net Foreign Investment Is Negative, Which of the Following

question 2

Multiple Choice

If net foreign investment is negative, which of the following must be true?

• A)Capital outflows are greater than capital inflows.
• B)Domestic investment must be greater than national saving.
• C)Net exports are positive.
• D)Private saving is greater than public saving.
• E)Canada's stock of foreign assets is growing faster than foreigners' stocks of Canadian assets.

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Definitions:

Peripheral

Relating to or situated on the edge or periphery of something, often indicating a boundary or outside limit.

Peripheral Route

In the Elaboration Likelihood Model of persuasion, a way of processing information that does not involve deep thinking and focuses on superficial cues.

Central Route

Part of the Elaboration Likelihood Model of persuasion, it involves thoughtful consideration of the arguments presented.

Postdecisional Dissonance

The psychological discomfort experienced after making a difficult decision, often leading to regret or rationalization of the choice made.