A Nation's Net Creditor Position Indicates That It

question 100

Multiple Choice

A nation's net creditor position indicates that it:

• A) has collected more in taxes than its government has spent.
• B) owes money to other foreign and international government agencies.
• C) has positive net external wealth.
• D) has negative net external wealth.

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Definitions:

Variable Input

A variable input is a resource or factor of production whose quantity can be changed easily by a firm in response to changes in production volume or demand, such as labor or raw materials.

Marginal Product

The extra production achieved by the use of an extra unit of a specific input while keeping other inputs unchanged.

Resource Demand Curve

A graph showing the relationship between the price of a resource and the quantity of that resource demanded by firms.

Imperfectly Competitive

A market structure where the conditions for perfect competition are not fully met, including monopolistic competition and oligopoly.