When Exports Exceed Imports, All of the Following Are True

question 70

Multiple Choice

When exports exceed imports, all of the following are true except:

• A) net capital outflows are positive.
• B) net exports are positive.
• C) domestic investment exceeds domestic saving.
• D) domestic output exceeds domestic spending.

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Definitions:

Creditors' Claims

Legal claims by lenders or creditors seeking repayment of debts owed to them by a debtor or borrower.

Involuntary Bankruptcy

A legal process initiated by creditors seeking to have a debtor declared bankrupt by a court, forcing the debtor to liquidate or reorganize their debts.

Bankruptcy Proceedings

The legal process through which individuals or entities unable to meet their financial obligations can seek relief from some or all of their debts.

Fair Market Value

The price that property would sell for on the open market, between a willing buyer and a willing seller.