The U.S balance of payments is constructed by ?

A. The u.s department of labor
B. The u.s department of agriculture
C. The u.s department of commerce
D. The council of economic advisers to the president

In the balance of payments travels and tourism are included in the category of ?

A. Unilateral transfers
B. Capital account
C. Merchandise account
D. Services account

The difference between a country’s balance of payments and its balance of international indebtedness?

A. Is equal to official reserve transactions
B. Occurs because of foreign exchange fluctuations
C. Reflects statistical discrepancies
D. Reflects the difference between flow and stock concepts

A nation will a current account deficit will be ?

A. Lending more money to other nations
B. Experiencing a surplus in exports of goods an services
C. Reducing its indebtedness to other nations
D. Going further into debt with other nations

A current account surplus implies that ?

A. The country is a net lender to the rest of the world
B. The country is running a net capital account surplus
C. Foreign investment in domestic securities is at very low levels
D. All of the above

When a country has a trade deficit it ?

A. Purchases more stocks and bonds from the rest of the world than it sells
B. Purchases more goods from the rest of the world than it sells
C. Sells more goods to the rest of the world than it purchases
D. Sells more stocks and bonds to the rest of the world than it purchases

The balance of payments is divided into two major accounts the ?

A. Current account the capital account
B. Current account the trade account
C. Trade account the capital account
D. Current account the reserve account

The difference between the balance on current account and the balance on capital account is the ?

A. Statistical discrepancy
B. Balance of payments
C. Balance of trade
D. Trade deficit

For the first time since World War I, in the mid-1980s the United States became a net international ?

A. Exporter
B. Importer
C. Debtor
D. Creditor

Credit (+) items in the balance of payments correspond to anything that ?

A. Involves receipts from foreigners
B. Involves payments to foreigners
C. Increases the domestic money supply
D. Decreases the demand for foreign exchange