What is the effect of an increase in Pakistan’s government budget deficit?

1. A Option A: It decreases Pakistan's net exports and net capital outflow by the same amount
2. B Option B: It increases Pakistan's net exports and net capital outflow by the same amount
3. C Option C: It increases Pakistan's net exports and decreases its net capital outflow
4. D Option D: It decreases Pakistan's net exports and increases its net capital outflow

Answer checked 11 October 2026 · How we write and check questions