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Suppose the nation of Pecunia had a current account
What happened to Pecunia’s net foreign assets in 2013?The CA deficit indicated net foreign assets decreased by $1 billion.How would the purchase of Pecunian assets by foreign cent...
cyxssbWhich of the following are true in terms
Which of the following are true in terms of the current account balance?A.Monetary expansion increases the current accountB.Monetary expansion decreases the current accountC.Fiscal...
cyxssbThe nation of Pecunia had a current account
a.What was the balance of payments of Pecunia in that year? What happened to the country’s net foreign assets?Ans. –The balance of payments is a colloquial name for the official ...
cyxssbA country’s current account
A.balance equals the change in its net foreign wealth.B.balance equals the change in its foreign wealth.C.surplus equals the change in its foreign wealth.D.deficit equals the chang...
cyxssbThe current account is equal to
The current account is equal toA.S(p)-I + T-G B.C+I+G+X C.I+X D.T-GAnswer: A
cyxssbA country is said to be in balance of payments
A country is said to be in balance of payments equilibrium when the sum of its current and itsA.non-reserved financial accounts equalsB.reserved financial accounts equalsC.non-rese...
cyxssbA current account surplus implies that
A.The country is a net lender to the rest of the worldB.The country is running a net financial account surplusC.Foreign investment in domestic securities is at very low levelsD.All...
cyxssbConsider the following entries into Canada’s
Current Account: 30.7Capital Account: 5.3Financial Account (excluding official international reserves): -24.9 Statistical Discrepancy: -5.5What happened to Canada’s net foreign as...
cyxssb“The balance of payments is always balanced.” Discuss.
Answer: True. Every international transaction automatically enters the balance of payments twice, once as a credit and once as a debit.Current account + financial account + capital...
cyxssbThe Marshall-Lerner Condition states that
A.depreciation always has a favorable effect on the currentB.import dependency reinforces the effects of depreciation on the current account.C.high elasticity of exports is suffici...
cyxssbIn terms of the current account,
A.a 2100 million dollar credit. B. a 2100 million dollars suplus.C.a 600 million dollar deficit. D. a 900 million dollar deficit.Answer: C
cyxssbBy external balance, most economists mean
A.avoiding excessive imbalances in internationalB.a balance between exports andC.a balance between trade account and serviceD.a fixed exchangeE.None of theAnswer: A
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