The Only Way in Which a Current Account Deficit Can

question 97

Multiple Choice

The only way in which a current account deficit can be supported in the long run is by:

• A)borrowing from the IMF.
• B)selling assets to foreigners.
• C)divesting stock in domestic corporations.
• D)purchasing stocks,bonds,and real estate in other countries.

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Definitions:

Price Matching

A policy by which a retailer promises to match a competitor’s lower price on an identical item to attract or retain customers.

Human Brain

The human brain is the organ located in the head of humans that controls thought, memory, emotion, touch, motor skills, vision, breathing, temperature, hunger, and every process that regulates our body.

Behavioral Economists

Professionals who study the effects of psychological, cognitive, emotional, cultural, and social factors on the economic decisions of individuals and institutions.

Prone To Errors

Characterized by a higher likelihood or tendency to make mistakes or inaccuracies.