An example of a transaction that will be a surplus item on the U.S. balance of payments is
A. a tourist from France buying a ticket to fly from New York to Chicago on United Airlines.
B. a U.S. resident purchasing Japanese rice wine.
C. a German subsidiary's plant in Alabama purchasing parts from the main plant in Frankfurt.
D. a gift of corn from the U.S. government to India.
Answer: A
You might also like to view...
In economics, what does CPI stand for?
A) Continuous Price Inflation. B) Central Price Information. C) Consumer Price Index. D) Collateral Price Inflation.
In terms of informal power within the Federal Reserve, which of the following groups do experts regard as the most powerful?
A) The Federal Advisory Council B) The economic staff of the U.S. Department of Commerce C) The economic staff of the Board of Governors D) Federal Reserve Bank directors
Your neighbor has just planted some fragrant flowers. The wonderful scent drifts into your room and makes you happy.
A. This scent is an internal cost to you. B. This is an externality since you get a benefit from your neighbor's flowers. C. This cannot be an externality since you are enjoying the scent. D. The social cost of this activity is entirely borne by you neighbor.
Which of the following is a factor that determines the shape of the aggregate demand curve?
A) the real-balance effect B) the wage effect C) the nominal-balance effect D) the price level effect