quiz 14 chapter 14 solutions

quiz 14 chapter 14 solutions - Self-Test Questions Chapter...

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Self-Test Questions Chapter 14 MULTIPLE CHOICE 1. Net capital outflow refers to the purchase of a. foreign assets by domestic residents minus the purchase of domestic assets by foreign residents. b. foreign assets by domestic residents minus the purchase of foreign goods and services by domestic residents. c. domestic assets by foreign residents minus the purchase of domestic goods and services by foreign residents. d. domestic assets by foreign residents minus the purchase of foreign assets by domestic residents. ANS: A 2. When Canada sells chocolate to the United States, U.S. net exports a. increase, and U.S. net capital outflow increases. b. increase, and U.S. net capital outflow decreases. c. decrease, and U.S. net capital outflow increases. d. decrease, and U.S. net capital outflow decreases. ANS: D 3. A Japanese firm buys lumber from Canada and pays for it with yen. Other things the same, Japanese a. net exports increase, and Canadian net capital outflow increases. b.
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quiz 14 chapter 14 solutions - Self-Test Questions Chapter...

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