Which of the Following Equations Is True in an Open

question 256

Multiple Choice

Which of the following equations is true in an open economy?

• A)Private saving = net foreign investment + domestic investment.
• B)Domestic saving = net capital flows.
• C)Net exports = -Financial account balance.
• D)Net exports = net foreign investment.

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Definitions:

Non-REM Sleep

A period of sleep that includes stages 1 through 3, characterized by a decrease in physiological activity and slower brain waves compared to REM sleep.

Brain Waves

Patterns of electrical activity in the brain, measurable by electroencephalography (EEG), that reflect different states of consciousness.

Psychoanalytic Theory

A framework for understanding the mind and mental disorders based on the interplay of unconscious and conscious forces.

Empirical Support

Evidence that is based on observation or experience rather than theory or pure logic.