Which of the following statements is false?
A) Higher the capital account surplus in an economy, higher is the economy's international indebtedness.
B) Larger the current account deficit in USA, larger is the larger is the USA's capital account surplus.
C) Larger the capital account surplus in USA, smaller is the USA's international indebtedness.
D) China's current account surplus implies deficit in the capital account.
Correct Answer:
Verified
Q29: If Canadian interest rates are higher than
Q30: Which of the following statements is false?
A)
Q31: If foreign exchange traders expect the dollar
Q32: Interest parity holds when:
A) interest rates are
Q33: Interest rate parity means:
A) goods and services
Q35: Larger fiscal deficits in USA in the
Q36: If there is a time when interest
Q37: The balance on capital account in the
Q38: The foreign exchange rate is defined as:
A)
Q39: The supply of foreign currency on the
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