If the United States donates footballs to Japan, how is the transaction recorded on the U.S. balance of payments accounts?
A. Decline in financial account balance; increase in trade balance
B. Decline in trade balance; increase in financial account balance
C. Decline in trade balance; increase in net unilateral transfers
D. Decline in net unilateral transfers; increase in trade balance
Answer: D
You might also like to view...
Sue consumes apples and bananas. Suppose Sue's income doubles and the prices of apples and bananas do not change. Sue's budget line will
A) shift leftward and its slope will not change. B) remain unchanged. C) shift rightward and its slope will not change. D) shift rightward and become steeper.
The satisfaction a person receives from consuming goods and services is called
A) contentment. B) wealth. C) utility. D) psychic income.
An example of a derivative is a:
A. futures contract. B. stock. C. bond. D. fixed-income security.
Debbie observes that leaves fall from trees before the fist day of winter, and concludes that the falling leaves cause winter to begin. This is an example of
A. Ockham's razor. B. the post hoc, ergo propter hoc fallacy. C. ceteris paribus. D. the fallacy of logic.