A Friend Claims That the United States Is a Net

question 16

Multiple Choice

A friend claims that the United States is a net international debtor.The best way of testing this claim is to see whether

• A)U)S. foreign liabilities exceeded U.S. foreign income.
• B)U)S. receipts from foreign assets exceeded U.S. payments to foreign owners of U.S. assets.
• C)U)S. official reserve assets were positive or negative.
• D)the United States ran a balance of payments surplus or deficit last year.

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Definitions:

Insurer Accepts

The act of an insurance company agreeing to take on the risk and provide coverage as outlined in the insurance policy.

Binder

A temporary insurance contract that provides coverage until a permanent policy is issued.

Homeowner's Insurance

Insurance coverage that protects against damages to a person's home and possessions within the home, along with liability coverage for accidents that happen at the home or at the hands of the homeowner within the policy territory.

Interim Home Damage Coverage

Temporary insurance protection for damages to one's home, typically used until permanent insurance takes effect or repairs are completed.