If Net Foreign Investment Is Negative,which of the Following Must

question 9

Multiple Choice

If net foreign investment is negative,which of the following must be true?

• A)Capital outflows are greater than capital inflows.
• B)Domestic investment must be greater than national saving.
• C)Net exports are positive.
• D)Private saving is greater than public saving.

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Definitions:

Compounded Semi-annually

The method of determining interest by adding it to both the original amount of money deposited or borrowed and the interest that has already been added over two periods within a year.

Amortization

The process of paying off a debt over time through regular payments.

Compounded Semi-annually

A method of calculating interest where the interest is added to the principal amount twice a year, leading to interest being earned on interest.

Compounded Semi-annually

Interest calculation method where interest is added to the principal sum of a loan or deposit twice a year, resulting in 'interest on interest' accumulation.