In the Open-Economy Macroeconomic Model,if a Country's Interest Rate Rises,then

question 4

Multiple Choice

In the open-economy macroeconomic model,if a country's interest rate rises,then its

• A)net capital outflow and net exports rise.
• B)net capital outflow rises and its net exports fall.
• C)net capital outflow falls and its net exports rise.
• D)net capital outflow and net exports fall.

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Definitions:

Selling And Administrative Expenses

Costs associated with sales and the general administration of a business, not directly tied to production.

Budgeting

Crafting a blueprint for your financial expenditure, highlighting anticipated monetary targets and the means to accomplish them.

Activity Variance

The difference between planned activity levels and actual activity levels, used in budgeting and variance analysis.

Employee Salaries

Fixed payments made regularly to employees for their work, regardless of hours worked.