Which of the Following Would Increase Net Exports in the United

question 163

Multiple Choice

Which of the following would increase net exports in the United States?

• A)The United States purchases 500 silver necklaces from Mexico.
• B)The government of Mexico purchases 500 Ford F-150 pickup trucks from the United States.
• C)A Mexican citizen purchases 25 shares of stock in Ford Motor Company.
• D)The U.S.government donates $5 million to Mexico to help victims of drought in Mexico.

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Definitions:

Price

The sum required, expected, or disbursed as a purchase price for an item.

Government-Provided Goods

Goods and services offered to the public by the government that might not be provided by the market or would be underprovided, such as public parks and national defense.

Explicit Fee

A clear and defined charge for a service or product that is not hidden or implicit.

Antipoverty Programs

Government or organizational initiatives designed to reduce or eliminate poverty by providing assistance to the needy through services or financial aid.