Macroeconomics

Net capital outflow:

The net flow of funds being

invested abroad; domestic saving minus domestic in-

vestment; also called net foreign investment.

Net exports:

Exports minus imports.

Net foreign investment:

See net capital outflow.

Net investment:

The amount of investment after

the replacement of depreciated capital; the change in

the capital stock.

Neutrality of money:

The property that a change

in the money supply does not influence real vari-

ables. (Cf. classical dichotomy.)

New Keynesian economics:

The school of thought

according to which economic fluctuations can be ex-

plained only by admitting a role for some microeco-

nomic imperfection, such as sticky wages or prices.

Nominal:

Measured in current dollars; not adjusted

for inflation. (Cf. real.)