If a Country Has Y > C + I

question 217

Multiple Choice

If a country has Y > C + I + G,then

• A)S > I and it has a trade surplus.
• B)S > I and it has a trade deficit.
• C)S < I and it has a trade surplus.
• D)S < I and it has a trade deficit.

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Definitions:

Straight-Line Depreciation

A method of allocating the cost of a tangible asset evenly over its useful life.

Simple Rate Of Return

A financial metric that calculates the increase in profits or savings expected from an investment as a percentage of the initial investment cost.

Annual Cost Savings

The reduction in costs achieved during a fiscal year, enhancing the organization's profitability.

Discount Rate

This rate is applied within discounted cash flow analysis to determine the contemporary monetary worth of future cash movements.