When there is political instability in another country, the United States can expect O an increase in the financial account balance due to the movement of assets to the U.S. O a decrease in the balance of payments due to a decrease in the demand for goods and services. O a decrease in the balance of payments due to a decrease in official reserve transactions. O an increase in the financial account balance due to an increase in the current account.

When there is political instability in another country, the United States can expect O an increase in the financial account balance due to the movement of assets to the U.S. O a decrease in the balance of payments due to a decrease in the demand for goods and services. O a decrease in the balance of payments due to a decrease in official reserve transactions. O an increase in the financial account balance due to an increase in the current account.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

When there is political instability in another country, the
United States can expect
O an increase in the financial account balance due to the
movement of assets to the U.S.
a decrease in the balance of payments due to a decrease in
the demand for goods and services.
O a decrease in the balance of payments due to a decrease in
official reserve transactions.
an increase in the financial account balance due to an
increase in the current account.

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