Author Question: Identify the correct statement. a. The United States was an international net debtor from the end ... (Read 125 times)

stevenposner · **on:** Jun 30, 2018

Identify the correct statement.
a. The United States was an international net debtor from the end of World War I until the mid-1980s.
b. The United States was an international net creditor from the end of World War I until the mid-1980s.
c. In 1945, the United States became an international net debtor for the first time in almost 70 years.
d. In 1985, the United States became an international net creditor for the first time in almost 70 years.
e. The net creditor status of the United States has grown steadily since 1985.

Question 2

In the 1980s, the U.S. current account deficit was financed by:
a. large outflows of domestic capital to other countries.
b. large inflows of capital from private foreign investment in the United States.
c. loans made by U.S. residents to the government.
d. large inflows of foreign government capital.
e. the Tax Reform Act of 1986, which increased income taxes for the wealthy.