4408EconomicsMedium
Suppose Canada and Switzerland were the only two countries in the world There exists an excess supply of Swiss francs on the foreign exchange market This suggests that?
Athe Swiss current account balance is in equilibrium
Bthe Canadian current account balance is in equilibrium
Cthe Canadian current account balance is in surplus
Dthe Swiss current account balance is in deficit
Correct answer
D. the Swiss current account balance is in deficit
Explanation
The correct answer is the Swiss current account balance is in deficit.