In the balance of payments statement, a current account surplus will be matched by a   capital and financial accounts deficit capital and financial accounts surplus trade deficit trade surplus   A trade deficit means a net  ? inflow of payments for goods and services outflow of goods and services inflow of goods and services excess of exports over imports

Q: A surplus on the current account of the balance of payments indicates that:  (1) Financial inflows…

A: Current Accounts of Balance of Payment is one of the components of  BOPs its records all transaction…

Q: The immediate impact on the balance of trade (BOT) for a country in deficit when there is an…

A: The balance of trade account is one that records all the amount of goods and services exchanged by…

Q: Explain why a stronger dollar could enlarge the U.S. balance-of-trade deficit. Explain why a weaker…

A: Balance of trade deficit refers to the situation of excess imports in the country over the exports…

Q: trade surplus (exporting more than importing) and trade deficit (importing more than exporting) on…

A: The ‘balance of trade’ (BOT) is the sum of a country's import and export.   The BOT is positive(+)…

Q: Which of the following transactions represents a deficit in the current account of the U.S. balance…

A: Balance of payments: It refers to the difference between the money which is coming in the economy…

Q: Comment on the following statement: "Since the United States imports more than it expona. It is…

A: The balance of payment (BOP) is the financial statement of a country which includes all its…

Q: Nigeria has a positive trade balance of $10 billion. If it has a negative balance of services of $8…

A: Balance of trade is the difference between the country's exports of goods and services and the…

Q: Following an expansionary monetary policy, we would expect lower interest rates, dollar   a.…

A: Expansionary monetary policy is used when the Reserve Bank or the central bank decides to stimulate…

Q: If the dollar rises in value against other currencies, this will Multiple Choice lower our trade…

A: Appreciation of currency refers to the increase in the value of one currency as compared to the…

Q: China had a $214 billion overall current account surplus in 2012. Assuming that China’s net debt…

A: Current account (CA) includes the trade of G&S done with abroad while the capital account…

Q: Nation’s exchange rate value for its currency in foreign exchange markets.  A nation's balance of…

A: The exchange rate is the rate at which the currency of a nation is traded for the currency of…

Q: In the balance of payments statement, a current account surplus will be matched by a    capital and…

A: The Balance of Payment record the transactions in services, goods, and assets between residents of a…

Q: country that faces a huge crisis of malnutrition. A recent study has alerted wealthy nations to the…

A: The balance of payment is the statement that lists all transactions between organizations,…

Q: Determine which account of the Balance-of-Payments is affected by each of the following transactions…

A: The performance of Celine Dion at the Jamaica Jazz & blue festival will be recorded on the…

Q: (1) Goods Exports +$200 (2) Balance on Capital Account 0 (3) Net Transfers 0 (4) Imports of Services…

A: Given the table, the value of current account would include the imports and exports of goods and…

Q: Explain, with the aid of a graph, the effect on the rand/dollar exchange rate and the equilibrium…

A: The exchange rate communicates the bilateral price of the foreign currency in terms of the home…

Q: Q.1.2 A deficit on the current account of a country's balance of payments can be financed by a…

A: NOTE:We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: Q2-9 The shape of the curve that shows the effect of currency depreciation upon a country's current…

A: The depreciation of any country's money will prompt a fall yet to be determined of exchange at first…

Q: A surplus in a country's financial/capital account necessarily means a recessionary economy a…

A: Basics:- Capital account of the country shows net flow of funds of country. Inflows of funds means…

Q: Consider an economy that begins with both internal and external balance. What would happen if the…

A: It would develop an excessively large current account deficit with excessive unemployment. This is…

Q: The current account balance consists of   A.the trade balance plus the services balance. B.net…

A: Current account is part of balance of payments.

Q: Which of the following transactions is included in the current account balance of the BOP statement…

A: Balance of Payment (BOP) is a statement of the record of all economic transactions of a country with…

Q: Which of the following is one of the indicators of a rising balance of payments deficit? Multiple…

A: Answer: A balance of payment deficit arises when a country imports more than its exports. The…

Q: Other fundamental things equal, a decrease in the exchange rate value of the domestic currency will…

A: An Exchange Rate(ER) is the value of the currency of a nation with the currency of another nation or…

Q: Other fundamental things equal, an increase in the exchange rate value of the domestic currency will…

A: The current account is the balance of trade reflecting all the payments made for goods, services,…

Q: A Current account deficit often raises the opposition of protectionists who think that a current…

A: There are other points of disagreement, including the definition of a current account deficit or…

Q: China's (Mainland) Balance of Payments. Use the following balance of payments data for China…

A: Balance of payment is the  record of monetary transaction amongst Nations. Balance of payment has…

Q: Explain how the implementation of the "Buy Malaysian Made Goods Campaign" on Malaysia's balance of…

A: Malaysian government implements a program named as  "Buy Malaysian Made Goods Campaign" in which it…

Q: Assuming a fixed exchange-rate system, which of the following would contribute to a Canadian balance…

A: Balance of payment deficit refers to the situation when the nation's imports are higher than…

Q: China had a $372 billion overall current account surplus in 2007. Assuming that China’s net debt…

A: The current account computes the import and export of services and commodities of a country over the…

Q: Discuss this statement : " Because each nation's balance of payments equals zero , it follows that…

A: The goal of a balance of payments deficit or surplus is to comprehend the debt or rest in a…

Q: Suppose that during a recent year for the United States, merchandise imports were $2 trillion,…

A: Merchandise Trade Balance = Merchandise Exports - Merchandise Import If the Merchandise imports are…

Q: (Balance of Payments) Explain where in the U.S. balance of payments an entry would be recorded for…

A: A Hong Kong financier buys some U.S. corporate stock. When foreigners buy domestic stocks, it is…

Q: In the balance of payments, a current account deficit is balanced by a capital account surplus. True

A: Balance of payments (BOP) is a record of transactions made between residents of a country and the…

Q: What is the meaning of a surplus (deficit) on the current account balance? What economic…

A: Current Account Balance A balance of payment is a statement that records all the transactions of a…

Q: Ricardian equivalence suggests that government budget deficits generated by decreases in current…

A: Current account:- it is a record of a country's transactions of goods and services, net earnings on…

Q: The capital account on the United States' balance of payments includes ALL BUT WHICH of the…

A: Balance of Payments of any country includes each and every transaction statement of the…

Q: 2-16 In a system of fixed exchange rates, the automatic balance-of-payments adjustment process for a…

A: *Answer:

Q: Alpha’s balance-of-payments data for 2016 are shown below. All figures are in billions of dollars.…

A: Balance of good shows the performance of an economy with respect to its trade of goods with foreign…

Q: As domestic currency appreciates, we would expect   a. Trade deficit to decrease.   b. Trade deficit…

A: Appreciation of the currency refers to the increase in the price of the currency in terms of other…

Q: In open economies, policy makers are motivated by the goal of internal balance and external balance.…

A: Internal Balance is defined as a situation in which the consumption in a given economy hardly equals…

Q: Explain, with the aid of a graph, what will happen to the rand/dollar exchange rate and the…

A: Exchange rate refers to the value of one currency in terms of another currency. The three exchange…