Which of the Following Is True of the U

question 116

Multiple Choice

Which of the following is true of the U.S. trade balance and the federal government budget?

• A) In most years since the 1970s, both have been in surplus.
• B) In most years since the 1970s, both have been in deficit.
• C) Both exhibited greater variability before the 1970s than they have since.
• D) The federal government budget deficit was more variable before the 1970s, but the trade deficit has been more variable since.

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Definitions:

Net Asset Value

The total value of a fund's assets minus its liabilities, often used in the context of mutual and exchange-traded funds.

Investment Company

A trust or corporation that focuses on deploying the aggregated investments of individuals into financial securities.

Mutual Fund Assets

The total market value of all financial assets held by a mutual fund.

Equity Funds

Investment funds that primarily invest in stocks, aiming to provide investors with capital growth or income through equity ownership.