Because of a sharp decline in real estate values, the household sector has increased the fraction of

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Because of a sharp decline in real estate values, the household sector has increased the fraction of disposable income that it saves. If output and investment spending remain unchanged, which of the following is most likely?

A. A decrease in the government deficit B. A decrease in net exports and increased capital inflow C. An increase in net exports and increased capital outflow

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Economics For Investment Decision Makers

ISBN: 9781118111963

1st Edition

Authors: Sandeep Singh, Christopher D Piros, Jerald E Pinto

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