If National Saving Increases,________

question 122

Multiple Choice

If national saving increases,________.(Assume that the capital account is zero and net transfers are zero. )

• A)the sum of domestic investment and net exports must decrease
• B)the sum of domestic investment and foreign investment must increase
• C)the sum of domestic investment and foreign investment must decrease
• D)foreign investment must decrease to cover the gain

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Definitions:

Business Ownership

The state or fact of owning a business, which entails bearing the risk of the venture and enjoying the profits derived from it.

Triggering Event

An occurrence or a situation that activates a response or process, often used in the context of contracts, where certain conditions activate specific clauses.

Personal Characteristics

Individual attributes or traits, including personality, values, attitudes, and abilities, that define a person.

Business Evolves

The process by which a business changes and develops over time to adapt to market conditions and customer needs.