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Why Are Net Exports and Net Capital Outflow Always Equal

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Why are net exports and net capital outflow always equal?


Definitions:

Model Significant

An indication that the model's predictions significantly differ from what would be expected by chance.

Correlation Coefficient

A numerical measure of the strength and direction of a linear relationship between two variables.

Linear Relationship

A direct correlation between two variables that can be represented with a straight line in a graph.

Coefficient Of Determination

A statistical measure represented by R² that assesses the proportion of variance in the dependent variable predictable from the independent variables.

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