If the World Real Interest Rate Were to Fall Below

question 69

Multiple Choice

If the world real interest rate were to fall below the rate at which domestic saving and investment would be equal ________.

• A)saving would be greater than investment so the economy would be running a trade deficit
• B)investment would be greater than saving so the economy would be running a trade deficit
• C)investment would be greater than saving so the economy would be running a trade surplus
• D)saving would be greater than investment so the economy would be running a trade surplus
• E)none of the above

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Definitions:

Viral Diseases

Illnesses caused by viruses, microscopic infectious agents that can infect all types of life forms, from animals and plants to microorganisms.

Risk Management

The identification, assessment, and prioritization of risks followed by the application of resources to minimize, control, and monitor the impact of unpredictable events.

Risk Reduction Strategy

A plan or approach aimed at minimizing the likelihood and impact of negative events or losses.

AIDS

Acquired Immune Deficiency Syndrome, a life-threatening condition caused by the human immunodeficiency virus (HIV), which severely damages the immune system.