Which of the Following Is an Item in the U

question 122

Multiple Choice

Which of the following is an item in the U.S. current account?

• A) net investment income
• B) the change in foreign private assets in the United States
• C) the change in private U.S. assets abroad
• D) the change in foreign government assets in the United States

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Definitions:

Supply of Loanable Funds

The total amount of funds that lenders are willing to loan at a given interest rate in an economy.

Elastic

Describes a situation in economics where the quantity demanded or supplied of a good changes significantly in response to changes in its price.

Demand for Land

The desire or need by individuals or businesses to purchase or lease land for various uses such as agriculture, commercial, or residential purposes.

Supply of Land

The total land area that is available for a particular use, such as agriculture, industry, or housing, which is often fixed and inelastic in the short term.