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Practice Questions
Test your understanding with targeted questions related to the topic.
Question 1
Easy
What does a capital account record?
💡 Hint: Think about where money flows between countries.
Question 2
Easy
Name one component of the capital account.
💡 Hint: Consider types of investments.
Practice 4 more questions and get performance evaluation
Interactive Quizzes
Engage in quick quizzes to reinforce what you've learned and check your comprehension.
Question 1
What is the main purpose of the capital account?
- To track trade balances
- To record financial transactions
- To measure economic growth
💡 Hint: Focus on financial activities between nations.
Question 2
A surplus in the capital account indicates which of the following?
- True
- False
💡 Hint: Think about what surplus means in financial terms.
Solve 2 more questions and get performance evaluation
Challenge Problems
Push your limits with challenges.
Question 1
Evaluate a hypothetical country with a consistent capital account surplus. What economic policies might it adopt to maintain this surplus and ensure sustainable growth?
💡 Hint: Consider how capital policies can help long-term growth.
Question 2
Analyze a nation facing a capital account deficit. Discuss potential strategies it could employ to reduce dependency on foreign investments.
💡 Hint: Think about how economic self-sufficiency can create a balance.
Challenge and get performance evaluation