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Author Question: The balance of payments is in equilibrium when A) the sum of the current account balance and ... (Read 65 times)

Marty

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on: Jun 30, 2018
The balance of payments is in equilibrium when
 
  A) the sum of the current account balance and capital account balance is zero.
  B) net exports are zero.
  C) net foreign investment is zero.
  D) real foreign investment is equal to net exports.

Question 2

Why have poor nations invested so much money in education and health? Evaluate the soundness of these reasons.
 
  What will be an ideal response?


LP

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Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

Discussed in the chapter. Education and health improvements will increase labor productivity. Both are essential for sustained growth.


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