In the Open-Economy Macroeconomic Model,the Supply of Money in the Market

question 33

Multiple Choice

In the open-economy macroeconomic model,the supply of money in the market for foreign-currency exchange comes from

• A)net exports
• B)net capital outflow
• C)net exports + net capital outflow
• D)net exports - net capital outflow

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Definitions:

Parasocial Relationship

A one-sided relationship where one party extends emotional energy, interest, and time, and the other party, the persona, is completely unaware of the other's existence.

Commitment

The state or quality of being dedicated to a cause, activity, or relationship.

Mutuality

The quality or condition of being mutual; reciprocal relations or feelings between individuals or groups.

Interdependence

A relationship between two or more parties where their actions and outcomes are mutually reliant on each other.