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Which of the following statements is FALSE? a) If domestic savings exceed domestic investment, a trade surplus will be observed. b) Real appreciation of the

Which of the following statements is FALSE? a) If domestic savings exceed domestic investment, a trade surplus will be observed. b) Real appreciation of the currency of an economy makes domestic products less competitive. c) A net inflow of capital increases the net wealth of residents. d) Without a positive trade balance, other items in the financial account (financial assets, direct investments) cannot increase net.

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