Please choose the correct answers: The combination of a high / low / zero savings rate and a high / low / zero real interest rate will result in the largest accumulation of wealth over time. Please choose the correct answers: To compensate for trade imbalances, a rising trade surplus will cause capital inflows to rise / fall / remain unchanged / change ambiguously; and the domestic real interest rate to rise / fall / remain unchanged / change ambiguously. Please choose the correct answers: When the domestic real interest rate rises, capital inflows will rise / fall / remain unchanged / change ambiguously and investment will rise / fall / remain unchanged / change ambiguously.
Please choose the correct answers: The combination of a high / low / zero savings rate and a high / low / zero real interest rate will result in the largest accumulation of wealth over time. Please choose the correct answers: To compensate for trade imbalances, a rising trade surplus will cause capital inflows to rise / fall / remain unchanged / change ambiguously; and the domestic real interest rate to rise / fall / remain unchanged / change ambiguously. Please choose the correct answers: When the domestic real interest rate rises, capital inflows will rise / fall / remain unchanged / change ambiguously and investment will rise / fall / remain unchanged / change ambiguously.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Please choose the correct answers:
The combination of a high / low / zero savings rate and a high / low / zero real interest rate will
result in the largest accumulation of wealth over time.
Please choose the correct answers:
To compensate for trade imbalances, a rising trade surplus will cause capital inflows to rise / fall
/ remain unchanged / change ambiguously; and the domestic real interest rate to rise / fall /
remain unchanged / change ambiguously.
Please choose the correct answers:
When the domestic real interest rate rises, capital inflows will rise / fall / remain unchanged /
change ambiguously and investment will rise / fall / remain unchanged / change ambiguously.
The combination of a high / low / zero savings rate and a high / low / zero real interest rate will
result in the largest accumulation of wealth over time.
Please choose the correct answers:
To compensate for trade imbalances, a rising trade surplus will cause capital inflows to rise / fall
/ remain unchanged / change ambiguously; and the domestic real interest rate to rise / fall /
remain unchanged / change ambiguously.
Please choose the correct answers:
When the domestic real interest rate rises, capital inflows will rise / fall / remain unchanged /
change ambiguously and investment will rise / fall / remain unchanged / change ambiguously.
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