If the World Real Interest Rate Were to Fall Below

question 69

Multiple Choice

If the world real interest rate were to fall below the rate at which domestic saving and investment would be equal ________.

• A)saving would be greater than investment so the economy would be running a trade deficit
• B)investment would be greater than saving so the economy would be running a trade deficit
• C)investment would be greater than saving so the economy would be running a trade surplus
• D)saving would be greater than investment so the economy would be running a trade surplus
• E)none of the above

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Definitions:

Caffeine Intake

The amount of caffeine consumed, often measured as part of dietary habits affecting health and wellbeing.

Whooping Cough

A highly contagious respiratory infection caused by the bacterium Bordetella pertussis, characterized by severe coughing fits that end in a "whooping" sound.

Lowenstein-Jensen (L-J) Slant

A culture medium used to grow mycobacteria, such as the bacterium that causes tuberculosis.

Bordetella Pertussis

A bacterial pathogen that causes whooping cough, a highly contagious respiratory disease.