How will the following transactions affect the U.S. balance-of-payments? For each transaction in the following table, indicate in which U.S. account it appears as a credit and in which account it appears as a debit. Transaction Gabrielle, an American tourist, stays at a Japanese hotel and pays $500 for it with her credit card issued by an American firm. Brandon, a U.S. resident, pays $5,000 from his checking account held in the United States to buy shares of stock issued by a German company. The United States forgives $100 million of debt owed by the government of Mexico. Account with Credit Account with Debit Capital Current Financial

How will the following transactions affect the U.S. balance-of-payments? For each transaction in the following table, indicate in which U.S. account it appears as a credit and in which account it appears as a debit. Transaction Gabrielle, an American tourist, stays at a Japanese hotel and pays $500 for it with her credit card issued by an American firm. Brandon, a U.S. resident, pays $5,000 from his checking account held in the United States to buy shares of stock issued by a German company. The United States forgives $100 million of debt owed by the government of Mexico. Account with Credit Account with Debit Capital Current Financial

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter29: International Finance

Section: Chapter Questions

Problem 1P

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