Which of the Following Leads to an Increase in Net

question 132

Multiple Choice

Which of the following leads to an increase in net exports in the long run?

• A)either a decrease in the budget deficit or imposing an import quota
• B)a decrease in the budget deficit but not imposing an import quota
• C)imposing an import quota but not a decrease in the budget deficit
• D)neither a decrease in the budget deficit nor imposing an import quota

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Definitions:

Purchasing Power

The purchasing power of a currency represented through the quantity of goods or services a single unit can acquire.

Equal Monthly Contributions

Regular, identical payments made monthly towards a financial obligation or investment.

Rate of Return

The gain or loss on an investment over a specified period, expressed as a percentage of the investment’s cost.

Investment Contributions

Money that individuals or entities provide toward investment vehicles for the purpose of accumulation and growth.