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Budget Deficits And The Trade Balance

An increase in Pakistan’s private saving ?

An increase in Pakistan’s private saving ?

A. increase Pakistan’s net exports and Pakistan’s net capital outflow the same amount
B. Increase Pakistan’s net exports and decrease Pakistan’s net capital outflow
C. decreases Pakistan’s net exports and Pakistan’s net capital outflow the same amount
D. decrease Pakistan’s net exports and increase Pakistan’s net capital outflow

An increase in Pakistan’s private saving ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

Suppose, due to political instability, Russians suddenly choose to purchase UK assets as opposed to Russian assets Which of the following statements is true regarding the value of the pound and UK net exports ?

Suppose, due to political instability, Russians suddenly choose to purchase UK assets as opposed to Russian assets Which of the following statements is true regarding the value of the pound and UK net exports ?

A. The pound appreciates, and UK net exports rise
B. The pound appreciates, and UK net exports fall
C. The pound depreciates, and UK net exports rise
D. The pound depreciates, and UK net exports fall

Suppose, due to political instability, Russians suddenly choose to purchase UK assets as opposed to Russian assets Which of the following statements is true regarding the value of the pound and UK net exports ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

If the EU imposes a quota on the importing of clothing produced in China, so reducing UK imports of clothing, which of the following is true regarding UK net exports ?

If the EU imposes a quota on the importing of clothing produced in China, so reducing UK imports of clothing, which of the following is true regarding UK net exports ?

A. Net exports will rise
B. None of these answers
C. Net exports will fall
D. Net exports will remain unchanged

If the EU imposes a quota on the importing of clothing produced in China, so reducing UK imports of clothing, which of the following is true regarding UK net exports ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

Which of the following statements regarding the market for foreign currency exchange is true ?

Which of the following statements regarding the market for foreign currency exchange is true ?

A. An increase in Pakistan’s net exports decreases the supply of rupees and the rupees depreciates
B. An increase in Pakistan’s net exports increase the demand for rupees and the rupees appreciates
C. An increase in Pakistan’s net exports increases the Supply of rupees and the rupees depreciates
D. An increase in Pakistan’s net exports decrease the demand for rupees and the rupees appreciates

Which of the following statements regarding the market for foreign currency exchange is true ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

The Phrase “twin deficits” refers to ?

The Phrase “twin deficits” refers to ?

A. A country’s trade deficit and its government budget deficit
B. The fact that if a country has a trade deficit, its trading partners must also have trade deficits
C. the equality of a country’s saving deficit and its investment deficit
D. a country’s trade deficit and its net capital outflow deficit

The Phrase “twin deficits” refers to ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

An increase in the Pakistan’s government budget deficit ?

An increase in the Pakistan’s government budget deficit ?

A. Increase Pakistan’s net exports and decrease Pakistan’s net capital outflow
B. decreases Pakistan’s net exports and Pakistan’s net Capital outflow the Pakistan’s same amount
C. Increase Pakistan’s net exports and Pakistan’s net capital outflow the same amount
D. decreases Pakistan’s net exports and increase Pakistan’s net capital outflow

An increase in the Pakistan’s government budget deficit ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

Which of the following statement regarding the loanable funds market is true ?

Which of the following statement regarding the loanable funds market is true ?

A. A decrease in the government budget deficit increase the real interest rate
B. An increase in the government budget deficit shifts the supply of loanable funds to the right
C. An increase in private saving shifts the supply of loanable funds to the left
D. An increase in the government budget deficit shifts the supply of loanable funds to the left

Which of the following statement regarding the loanable funds market is true ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs

Which of the following statements regarding the loanable funds market is not true ?

Which of the following statements regarding the loanable funds market is not true ?

A. A decrease in a country’s net capital outflow shifts the demand for loanable funds to the left
B. An increase in domestic investment shifts the demand for loanable funds to the right
C. An increase in a country’s net capital outflow shifts the supply of loanable funds to the left
D. An increase in a country’s net capital outflow raises its real interest rate

Which of the following statements regarding the loanable funds market is not true ? Read More »

Budget Deficits And The Trade Balance, Economics Mcqs