Net Exports ________

question 6

Multiple Choice

Net exports ________.

• A)are heavily determined by foreign demand for domestic goods
• B)are heavily determined by domestic demand for domestic goods
• C)are independent of domestic interest rate fluctuations
• D)all of the above
• E)none of the above

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Definitions:

Penalty Unenforceability

The legal concept that a penalty clause within a contract may not be enforceable if it is deemed excessively punitive rather than a genuine pre-estimate of loss.

Liquidated Damages

A predetermined amount of money that must be paid as compensation for failure to perform certain obligations of a contract.

Damages Determination

The process by which courts calculate the amount of money to be awarded to a party in a lawsuit for losses or injuries suffered.

Special Use Loss

A financial loss incurred due to the specialized nature of property or equipment that limits its use or marketability.