An example of a deficit item on the U.S. balance of payments is

A) the sale of a spark plug made by a U.S. firm in Michigan to a Nissan plant in Tennessee.
B) the purchase of Japanese yen by a U.S. firm.
C) a deposit in a bank in Chicago by the government of Saudi Arabia.
D) the payment of a dividend by a British firm to a U.S. family.


Answer: B

Economics

You might also like to view...

Collusion is more successful in a game that will continue forever or in a game with an uncertain ending time than in a game with a known ending time

What will be an ideal response?

Economics

Is the actual amount of output that corresponds to the long-run aggregate supply curve fixed? Explain.

What will be an ideal response?

Economics

A fall in the price of bonds may lead to a(n):

A) decrease in aggregate demand and the price level due to a decrease in net exports. B) decrease in aggregate demand and an increase in the price level due to a decrease in investment. C) increase in aggregate demand due to an increase in net exports. D) increase in aggregate demand due to an increase in investment.

Economics

If a firm is a price taker, the demand curve faced by the firm is:

A. horizontal. B. vertical. C. downward sloping. D. upward sloping.

Economics