the balance of trade is $50 million and the balance of the capital account is-$40 million, what is the balance of the current account? Multiple Choice $10 million. -$10 million. $40 million. $50 million.
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- The GDP for the United States is 18,036 billion and its current account balance is 484 billion. What percent of GDP is the current account balance?If the U.S. dollar appreciates and prices remain the same at home and abroad, foreign goods become _____ expensive relative to American goods, pushing the U.S. trade balance toward _____. a)more;surplus b)more;deficit c)less;surplus d)less;deficitWhat do the plus signs and negative signs signify in the U.S. balance-of-payments statement? Which of the following items appear in the current account and which appear in the capital and financial account? U.S. purchases of assets abroad; U.S. services imports; foreign purchases of assets in the United States; U.S. goods exports; U.S. net investment income. Why must the current account and the capital and financial account sum to zero?
- The table gives some information about U.S. international transactions in 2015 Calculate the balance on the three balance of payments accounts. Was the United States a net borrower or a net lender? Explain your answer. >>> If your answer is negative, include a minus sign. If your answer is positive, do not include a plus sign. The current account balance is billion dollars. The capital and financial account balance is The official settlements account balance is billion dollars. U.S. official reserves are The United States is a investment abroad. billion dollars. because foreign investment in the United States A. net borrower; exceeds B. net lender; exceeds C. net borrower; is less than O D. net lender; is less than U.S. Item Imports of goods and services Foreign investment in the United States Exports of goods and services U.S. investment abroad Net interest income Net transfers Statistical discrepancy Billions of dollars 2,764 502 2,264 175 193 - 127 101Which of the following is not included in the current account?a. exports of goodsb. imports of goodsc. U.S. capital inflow and outflowd. unilateral transfersThe graph shows the demand curve for U.S. dollars. Draw a new demand curve that shows the effect of an increase in the world demand for U.S. exports. Label it. A change in the expected future exchange rate changes the demand for U.S. dollars and a change in the world demand for U.S. exports changes the demand for U.S. dollars A. today; in the future B. in the future; today C. in the future; in the future D. today; today 160 140- 120- 100- 80- 60- 40+ Exchange rate (yen per U.S. dollar) Do 1.3 1.5 1.6 1.7 1.4 Quantity (trillions of U.S. dollars per day) >>> Draw only the objects specified in the question. 1.8
- if US citizen decides to consume less and save more, then the foreign-exchange price of the dollar will rise True or False.Consider the appreciation of a currency. What effects might this have on international companies exporting overseas? What actions could companies take to minimize these effectsExchange Rate Effects on Trade Explain why a stronger dollar could enlarge the U.S. balance-of-trade deficit. Explain why a weaker dollar could affect the U.S. balance-of-trade deficit.
- Algeria has a negative trade balance of $7 billion. If it is has a positive balance of goods of $10 billion, how much is its balance of services? Instructions: If you are entering a negative number, be sure to include a negative (-) sign. billion %24Q.1.2 A deficit on the current account of a country's balance of payments can be financed by a surplus: (1) Of exports over imports; (2) Of net gold exports; (3) On the financial account; (4) On the trade balance.Suppose that the exchange rate falls from 84 yen per U.S. dollar to 71 yen per U.S. dollar. What is the effect of this change on the quantity of U.S. dollars that people plan to sell in the foreign exchange market? The quantity of U.S. dollars that people plan to sell in the foreign exchange market A. decreases and the supply curve of U.S. dollars shifts leftward B. increases and the supply curve of U.S. dollars shifts rightward C. increases and a movement up along the supply curve for U.S. dollars occurs D. decreases and a movement down along the supply curve of U.S. dollars occurs