A Country That Exports More Than It Imports Will

question 51

Multiple Choice

A country that exports more than it imports will:

• A) have a current account deficit and a capital account deficit.
• B) have a current account surplus and a capital account surplus.
• C) have a current account deficit and a capital account surplus.
• D) have a current account surplus and a capital account deficit.

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Definitions:

Production Sectors

The division of an economy into different groups or areas of production, such as agriculture, manufacturing, and services.

Planning Fallacy

The tendency for people and organizations to underestimate the time, costs, and risks of future actions and overestimate the benefits.

Bottlenecks

Points of congestion or blockage in a production process or system that lead to inefficiencies and delays.

Major Business Projects

Significant initiatives undertaken by businesses that involve considerable investment and are aimed at achieving specific strategic goals.