(Answered) Suppose that americans buy more foreign assets than the

Management Studies

Suppose that Americans buy more foreign assets than the amount of American assets bought by foreigners. Then which of the following is true? A) US national saving is larger than US investment. B) The US has a trade surplus. C) The US has a positive net capital outflow. D) All of the above.

This is by definition a positive net capital outflow, which also implies a trade surplus. Why d not A?

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