When a German company purchases a U.S. company for $20 million, in the balance of payments the value of that transaction is recorded in the
A) current account.
B) investment account.
C) official purchases account.
D) capital and financial account.
E) purchase account.
D
You might also like to view...
The period between a business cycle peak and a business cycle trough is called
A) recalculation. B) recession. C) diffusion. D) expansion.
A natural region over which a single currency dominates as a medium of exchange is called
A) sovereign nation. B) monetary union area. C) common currency area. D) currency union.
If a 1 percent increase in price leads to a .7 percent increase in quantity supplied in the short run, the short-run supply curve is
a. elastic. b. inelastic. c. unit elastic. d. perfectly inelastic.
Which of the following is an accurate statement about hyperinflation?
a. It usually happens when a country experiences steady economic growth for many years. b. It can be caused when a government needs to print large amount of money to pay huge debts. c. It often occurs when a government sharply reduces the money supply to curb inflation. d. It happens less often during wars or periods of political unrest.