Net exports are the sum of
A) the current account balance and capital account balance.
B) the balance of payments accounts.
C) exports and imports.
D) the private sector balance and the government sector balance.
E) the current account balance and the official settlements account balance.
Question 2
The policy tool of credit easing refers to the ________.
A) Treasury's issuance of federal debt to finance home buying
B) federal government's requirement that the Fed must lend directly to home buyers
C) Fed's requirement that the federal government must lend to directly to home buyers
D) Fed's purchase of private securities to stimulate banks' lending
E) Fed's lowering of the federal funds rate to zero
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