Which of the following is a key component that determines a country's primary income (within the country's current account)?
A) direct foreign investment
B) international trade
C) tax rates
D) gifts

Question

​Which of the following is a key component that determines a country's primary income (within the country's current account)?
A) ​direct foreign investment
B) ​international trade
C) ​tax rates
D) ​gifts

Quizplus · Accepted Answer

Direct foreign investment is a key component that determines a country's primary income within the country's current account. It refers to investments made by foreign companies or individuals in the domestic market, such as buying stocks or investing in infrastructure projects. This investment brings in foreign currency, which contributes to the country's primary income. International trade, tax rates, and gifts are also important factors that impact a country's economy, but they do not directly determine a country's primary income within the current account.

​Which of the Following Is a Key Component That Determines

Which of the Following Is a Key Component That Determines