In a small open economy, if exports are equal to $10 billion and imports are equal to $12 billion, there is a trade ＿＿ and ＿＿ net capital outflow.A.deficit; negativeB.surplus; negativeC.deficit; positiveD.surplus; positive

The situation when a country imports more than its exports is:✓ ► A trade surplus.✓ ► A recession.✓ ► A trade deficit.✓ ► An expansion.

Which statement is true?A.When net capital outflows are positive, net exports are negative.B.In a small open economy, if exports equal $8 billion and imports equal $9 billion, than there is trade deficit and NCO is positive.C.For the LM curve, both taxes and government spending are fixed.D.In the IS-LM model, interest rate links the market for goods and services and the market for real money balances.

2. A "negative" balance of trade, or trade deficit, occurs when a country's imports are------------------------------ then its exports. More Less Equal None of the above

Assume a small open economy's domestic output (Y) is $750 million, its domestic spending is $850 million, and total imports are $150 million. Therefore, the country runs a trade ________, and total exports are ________.a.deficit; $50 millionb.surplus; $250 millionc.surplus; $50 milliond.deficit; $250 million

Which of the following refers to the situation when a country's imports exceed its exports? Question 10Answer a. Trade deficit b. Trade surplus c. Trade advantage d. Balance of payments e. Balance of trade