Which of the Following Equations Is True in an Open

question 268

Multiple Choice

Which of the following equations is true in an open economy?

• A)Private saving = net foreign investment + domestic investment.
• B)National saving = net capital flows.
• C)Net exports = -Financial account balance.
• D)Net exports = net foreign investment.

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Definitions:

Strategies

Plans of action designed to achieve a long-term or overall aim by navigating challenges and utilizing resources effectively.

Plan

A detailed proposal for doing or achieving something, often presented as a course of action or strategy.

Orderly Steps

Methodical and organized sequences of actions taken to achieve a specific goal.

Clarify

To make a statement or situation less confused and more comprehensible.