Which of the Following Would Decrease the Current Account Balance

question 44

Multiple Choice

Which of the following would decrease the current account balance of the United States?

• A)a decrease in imports
• B)a decrease in the amount of money the U.S.government sends in foreign aid to other countries
• C)a decrease in the balance of trade
• D)a decrease in the amount of income U.S.companies pay out to foreigners who own investments in the U.S.

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Definitions:

Correlation Coefficient

A statistical measure that describes the extent to which two variables move in relation to each other.

Scatterplot

A type of graphical representation showing the relationship between two variables wherein each point represents an observation.

Ordered Pairs

Pairs of elements (x, y) arranged in a specific order, used to define coordinates on a plane.

Disposable Income

Disposable income is the amount of money that households have available for spending and saving after income taxes have been accounted for.