Suppose That Because of Legal and Financial Reforms in the Country

question 77

Multiple Choice

Suppose that because of legal and financial reforms in the country of Belats, foreigners find business opportunities there more attractive. We would expect the more attractive opportunities would cause Belats'

• A)net exports and net capital outflows to increase.
• B)net exports to increase and its net capital outflows to decrease.
• C)net exports and net capital outflow to decrease.
• D)net exports to decrease and its net capital outflow to increase.

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Definitions:

Price

The monetary value assigned to a product or service, determined by various factors including supply and demand, production cost, and market competition.

Quantity

The amount or number of a material or immaterial good that can be measured or counted.

Gourmet Coffee

Gourmet coffee refers to high-quality coffee beans that are often single-origin or specially blended to create a unique and superior taste experience compared to standard coffee.

Price Decreases

A reduction in the cost of goods or services that can impact demand, supply, and economic equilibrium.