1. In 2001 the United States posted a current account deficit of -$393 billion. The bulk of the negative value came from

a) a net transfer deficit. b) an income balance deficit. c) a goods trade deficit. d) an income trade deficit.

2. In finance, an efficient market is one in which

a) prices are assumed to be correct.

b) prices adjust quickly and accurately to new information.

c) prices are the best allocators of capital in the macro economy.

d) all of these.