The difference between net capital flows and the current account ...

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The difference between net capital flows and the current account deficit is called the
 
  A) capital account surplus.
  B) capital account deficit.
  C) international error.
  D) missing number.
  E) statistical discrepancy.

Question 2

Assume that expected inflation is based on the following: et = t-1. If  = 0, we know that
 
  A) a reduction in the unemployment rate will have no effect on inflation.
  B) low rates of unemployment will cause steadily increasing rates of inflation.
  C) high rates of unemployment will cause steadily declining rates of inflation.
  D) the Phillips curve illustrates the relationship between the level of inflation rate and the level of the unemployment rate.

[DylanD1323]

Answer to Question 1

E

Answer to Question 2

D

[mmm]

TYSM

[juliaf]

Gracias!