Which of the Following Is True

question 62

Multiple Choice

Which of the following is true?

• A) Net exports of foreign assets cause a decrease in external wealth.
• B) Net exports of home assets cause an increase in external wealth.
• C) Net imports of foreign assets cause a decrease in external wealth.
• D) Financial flows do not affect a nation's international investment position.

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Definitions:

Firm Offer Rule

A legal principle stating that a merchant’s offer to buy or sell goods, assuring that the offer will remain open for a certain period, is binding and cannot be revoked.

Merchant Offeror

A seller or provider of goods or services considered legally as a "merchant," often involved in making offers in the course of business.

Writing

The act or process of composing text or documenting information in a durable medium.

Offeror

The party in a contract who makes the offer to enter into an agreement.