An U.S. firm buys a new industrial sewing machine from a company located in France. Which of the following is TRUE?
I. U.S. net exports decrease.
II. U.S. investment increases.
A) only I
B) only II
C) both I and II
D) neither I nor II
Question 2
Exports of U.S. goods create a ________ U.S. dollars and create a ________ foreign currencies.
A) demand for; demand for.
B) supply of; supply of
C) demand for; supply of
D) supply of; demand for