Which of the Following Is Correct Concerning the Open-Economy Macroeconomic

question 107

Multiple Choice

Which of the following is correct concerning the open-economy macroeconomic model?

• A)The net-capital-outflow curve slopes downward.
• B)The key determinant of net capital outflow is the real exchange rate.
• C)The supply of dollars in the market for foreign-currency exchange is horizontal.
• D)None of the above is correct.

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Definitions:

Distributive Justice

The perceived fairness of the allocation of resources, rewards, or outcomes within an organization or society.

Golden Rule

A moral principle that suggests treating others as one would like to be treated oneself, often cited in various religious and philosophical traditions.

Ethical Justification

The process of defending actions or decisions based on ethical principles, showing they adhere to standards of right or wrong.

Social Consensus

The level of agreement among members of a society or group on specific issues, norms, or values.