If the Balance of the Current Account in the United

question 172

Multiple Choice

If the balance of the current account in the United States is -$900 billion,which of the following is most likely to be true?

• A)The balance on the financial account is positive.
• B)The trade balance is positive.
• C)Net foreign investment is positive.
• D)The balance on the capital account is negative.

Determine the rate of return on an investment over a given period.

Understand the impact of time on the growth rate of investments.

Apply the concept of present value and discounting in investment decisions.

Calculate the growth rate of a population or establishments using past data.

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Definitions:

Textile Industry

An industry primarily concerned with the design, production, and distribution of yarn, cloth, and clothing. It was one of the earliest industries to industrialize in the 19th century.

Financial Savings

The portion of personal income that is set aside, not spent on immediate consumption, and typically put into a bank or investment account for future use.

Consumer Economy

An economy driven by the spending of consumers on goods and services, indicative of a society valuing and depending upon consumption as a primary economic activity.

Population Increase

The growth in the number of people living in a particular area, region, or country, often measured by percentage change over time.