Author Question: A current account surplus implies that A) the country is a net lender with the rest of the world. ... (Read 80 times)

TFauchery · **on:** Jun 30, 2018

A current account surplus implies that

A) the country is a net lender with the rest of the world.
B) the country is running a net capital account surplus.
C) foreign investment in domestic securities is at very low levels.
D) All of the above.

Question 2

Which of the following is not a necessary condition for a flat BP curve?

A) perfect capital mobility
B) perfect asset substitutability
C) fixed exchange rates
D) floating exchanges rates
E) Both C and D