A debtor nation means a nation
A) whose imports exceeds its exports.
B) whose current account is less than its capital account.
C) whothrough its historyhas invested less in the rest of the world than other countries have invested in it.
D) whose current lending to the rest of the world exceeds its borrowing from the rest of the world.
Question 2
If the economy is in long run equilibrium and aggregate demand increases, then in the short run
A) nothing happens because the economy is in long run equilibrium.
B) the price level rises and real GDP does not change.
C) real GDP increases and the price level does not change.
D) the price level rises and real GDP increases.
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