Suppose that foreign citizens decide to purchase more U.S. pharmaceuticals and U.S. citizens decide to buy stock in foreign corporations. Other things the same, these actions
A)raise both U.S.net exports and U.S.net capital outflows.
B)raise U.S.net exports and lower U.S.net capital outflows.
C)lower both U.S.net exports and U.S.net capital outflows.
D)lower U.S.net exports and raise U.S.net capital outflows.

Question

Quizplus · Accepted Answer

Foreign citizens purchasing more U.S. pharmaceuticals increases U.S. exports, while U.S. citizens buying stock in foreign corporations increases U.S. capital outflows.

Suppose That Foreign Citizens Decide to Purchase More U