Author Question: Suppose the United States spends more on foreign goods and services than foreigners spend on our ... (Read 88 times)

fox · **on:** Jun 29, 2018

Suppose the United States spends more on foreign goods and services than foreigners spend on our goods and services and the United States sells no foreign assets. Then the

A) United States must borrow an amount equal to national saving.
B) United States must borrow an amount equal to imports minus exports.
C) rest of the world may or may not finance the U.S. trade deficit.
D) United States must borrow an amount equal to consumption expenditure plus investment.

Question 2

Money ________.

A) is always composed of coins and paper
B) loses its value as it becomes older
C) requires a double coincidence of wants
D) is any commodity that is generally acceptable as a means of payment