If David Ricardo’s theory holds completely true, then any change in budget deficits or budget surpluses would be completely offset by which of the following?
A. a change in currency exchange rates
B. a sustained pattern of trade imbalances
C. a corresponding change in private saving
D. a dependence on inflows of capital
Answer:C
If David Ricardo’s theory holds completely true, then any change in budget deficits or budget surpluses would be completely offset by which of the following?
A. a change in currency exchange rates B. a sustained pattern of trade imbalances C. a corresponding change in private saving D. a dependence on inflows of capital
Explanation: Type: Multiple Choice