Question

In what sense can a country run a balance-of-payments surplus or a balance-of-payments deficit? A. This can occur when a country includes unrealized trade balances in the current account. B. This can occur when a country's government budget surplus or deficit is included in the financial account. C. This can occur when the official settlements balance is excluded from the financial account. D. This can occur if a country ignores the exchange rates when calculating the balance-of-payments account.

          In what sense can a country run a balance-of-payments surplus or a balance-of-payments deficit?
A. This can occur when a country includes unrealized trade balances in the current account.
B. This can occur when a country's government budget surplus or deficit is included in the financial account.
C. This can occur when the official settlements balance is excluded from the financial account.
D. This can occur if a country ignores the exchange rates when calculating the balance-of-payments account.

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In what sense can a country run a balance-of-payments surplus or a balance-of-payments deficit?
A. This can occur when a country includes unrealized trade balances in the current account.
B. This can occur when a country's government budget surplus or deficit is included in the financial account.
C. This can occur when the official settlements balance is excluded from the financial account.
D. This can occur if a country ignores the exchange rates when calculating the balance-of-payments account.

Added by Noelia H.

Principles of Economics

Gregory Mankiw 8th Edition

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Solved by Expert Pronoy Sinha

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It consists of two main components: the current account and the capital and financial account. A balance-of-payments surplus occurs when a country's receipts from exports of goods and services, as well as income from investments abroad, exceed its payments for Show more…

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In what sense can a country run a balance-of-payments surplus or a balance-of-payments deficit? O A. This can occur when a country includes unrealized trade balances in the current account. O B. This can occur when a country's government budget surplus or deficit is included in the financial account. O c. This can occur when the official settlements balance is excluded from the financial account. O D. This can occur if a country ignores the exchange rates when calculating the balance-of-payments account.

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