If sales of Saudi Arabian oil to the rest of the world increase and Saudis use...

If sales of Saudi Arabian oil to the rest of the world increase and Saudis use the proceeds to buy foreign goods, which of the following increases

a) Saudi Arabian net exports but not Saudi Arabian net capital outflow

b) Saudi Arabian net capital outflow but not Saudi Arabian net exports

c) both Saudi Arabian net exports and net capital outflow

d) neither Saudi Arabian net exports nor net capital outflow

Solutions

Expert Solution

Ans) the correct option is d) neither Saudi Arabian net exports nor net capital outflow

Rahul Sunny answered 2 years ago

Next > < Previous

Related Solutions

The Saudi Arabian economy has developed with the use of large numbers of expatriate workers. In...

The Saudi Arabian economy has developed with the use of large numbers of expatriate workers. In a critical essay, indicate the benefits and risks associated with the dependence on large numbers of expatriate workers. Should Saudi Arabia seek to include or exclude labor mobility in future regional free trade agreements? Why or why not? What implications does the Saudi Vision 2030 have on labor mobility?

Discuss the impact on the oil market if Saudi Arabia dramatically increase the quantity of oil...

Discuss the impact on the oil market if Saudi Arabia dramatically increase the quantity of oil it produces and sells each year. Specifically, address how this will effect market quantity, market price, and the amount of profit Saudi Arabia and other oil producers make selling oil. Assume that oil production is an oligopoly market where there are only a few firms and they all sell the same product (commodity).

Suppose there is an increase in income in the rest of the world, which in turn...

Suppose there is an increase in income in the rest of the world, which in turn increases the demand for domestic goods. Then, caeteris paribus (all else equal), this will cause:" Aggregate Demand shifts left Aggregate Supply shifts right Aggregate Demand shifts right Aggregate Supply shifts left.

Impact of Saudi-Russian oil war on Saudi Economy

Trade Agreements and Trans border Flows of Labor The Saudi Arabian economy has developed with the...

Trade Agreements and Trans border Flows of Labor The Saudi Arabian economy has developed with the use of large numbers of expatriate workers. In a critical essay, indicate the benefits and risks associated with the dependence on large numbers of expatriate workers. Should Saudi Arabia seek to include or exclude labor mobility in future regional free trade agreements? Why or why not? What implications does the Saudi Vision 2030 have on labor mobility?

Consider the political and economic factors that affect the Saudi Arabian healthcare system. How do these...

Consider the political and economic factors that affect the Saudi Arabian healthcare system. How do these factors relate to privatization? Health insurance? Write a paper that addresses the following: An introduction, At least two contemporary political factors that impact the KSA healthcare system At least two contemporary economic factors that impact the KSA healthcare system, The role of privatization in the context of these factors The role of health insurance in the context of these factors A conclusion.

Question no 2- In your opinion, how the Saudi Arabian bank managers are managing the risks...

Question no 2- In your opinion, how the Saudi Arabian bank managers are managing the risks involved in the local market liquidity as well as the international capital requirements to cover the credit risks, market risks operational risk and liquidity risk? How it is going to ease and solve the current financial requirement of the markets? Explain in your own words.(Case study)

Abdulsamad Al-Qurashi is an organization in Saudi Arabia that specializes in Arabian perfumes and bukhoor products....

Abdulsamad Al-Qurashi is an organization in Saudi Arabia that specializes in Arabian perfumes and bukhoor products. Due to global demand, the firm would like to expand their business abroad. Abdulsamad Al-Qurashi plans to make the products in Saudi Arabia and sell them across their branches in different parts of the world. What is the alternative strategy for developing global businesses appropriate for the business – Justify your answer.

Consider the world oil market, in which a cartel (OPEC) and a competitive fringe (rest of...

Consider the world oil market, in which a cartel (OPEC) and a competitive fringe (rest of the world) are operating. Suppose that global oil demand and the supply of the competitive fringe are given by the following functions: Qw=80-P Qf=-60+p suppose the cartel is comprised of 2 countries, let each countries marginal cost function be as follows: MC1=5+2Q2 MC2=5+2Q2 Derive the marginal cost function (?C?) of the cartel. (2 pt) Calculate the price at which the competitive fringe would be...

An attack on Saudi Arabia’s oil facilities results in a decrease in Saudi Arabia’s exports to...

An attack on Saudi Arabia’s oil facilities results in a decrease in Saudi Arabia’s exports to the world oil market. What impact does this event have on the world price of oil? What impact will this change in the world price of oil have on the price of iPhones imported from China to the United States? Use the supply and demand model to explain your answers in each market.

Subjects