A country's imports: have no relationship with its balance of payments. affect its exports and exports...
A country's imports: have no relationship with its balance of payments. affect its exports and exports affect its imports. over time will decrease its overall economic activity. stimulate the imports of other countries. have no affect on its exports.
Homework Answers
Over time will decrease it's overall economic activity.
Imports is a reduction in net exports which is a component of aggregate demand. Decrease in net exports decrease aggregate demand. This further reduces total output or national income in the country. Economic activity is reduces as a result.
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A country's imports: have no relationship with its balance of
payments. affect its exports and exports...
27. If the value of a country's exports is greater than the value of its imports,it...
27. If the value of a country's exports is greater than the value of its imports,it is: A) B) C) D) running a trade surplus. running a trade deficit. in an economic contraction. likely to find its investment spending greater than its level of saving
Which of the following would have the greatest positive impact on a country's domestic economy? A....
Which of the following would have the greatest positive impact on a country's domestic economy? A. An increase in spending on imports from other countries. B. An increase in spending by foreigners on the country's exports C A decrease in the confidence of foreign investors in the country's economy D A decrease in the incomes of consumers in foreign countries.
QUESTION 9 When a country's imports is greater than its exports, the country is experiencing a...
QUESTION 9 When a country's imports is greater than its exports, the country is experiencing a Ca. trade balance cb. trade residual c. trade deficit d. trade surplus QUESTION 10 The slop of the production possilbilities frontier is equal to a. The marginal cost of the good measured on the horizontal axis b. The marginal cost of the good measured on the vertical axis c. The opportunity cost of the good measured on the horizontal axis d. The opportunity cost...
Explain the balance of payments equation: (Exports-Imports)+(Capital inflows-outflows)-change in reserves=0
Explain the balance of payments equation: (Exports-Imports)+(Capital inflows-outflows)-change in reserves=0
During some year a country had exports of $105 billion, imports of $140 billion, and domestic...
During some year a country had exports of $105 billion, imports of $140 billion, and domestic investment of $200 billion. Therefore its saving during the year was $165 billion. Select one: True False n the United States before 1980, national saving and domestic investment were very close, and so net capital outflow was large (in absolute value terms). Select one: True False If both domestic investment and net capital outflow decrease then national saving must increase. Select one: True False...
Measuring Global Trade Most nations cannot produce all the products its people want and need. Even...
Measuring Global Trade
Most nations cannot produce all the products its people want and
need. Even if a country did become self-sufficient, other nations
would seek to trade with it to meet the needs of their own people.
Examine the chart containing trade figures from various countries
and determine the balance of trade.
Global trade enables a nation to produce what it is most capable of
producing and buy what it needs from others in a mutually
beneficial exchange relationship....
(6) At a world price of Pw, the quantity of exports in the graph below is...
(6)
At a world price of Pw, the
quantity of exports in the graph below is given by
__________.
QSD −
QDD
QDD −
QSD
Pw − P*
SD −
DD
(7)
Suppose France is an open economy and cannot influence the
world price. If the world price is below the domestic equilibrium
price, how would an increase in domestic supply affect the price
and quantity demanded?
It would increase the price
and the quantity demanded.
It...
Balance of Payments (Billions of s) Current Accounts Canadian merchandise exports Canadian mercha...
Balance of Payments (Billions of s) Current Accounts Canadian merchandise exports Canadian merchandise imports Merchandise trade balance Canadian service exports Canadian service imports Services balance Goods and services balance Net investment income from abroad Net unilateral transfers Current account balance +65 -96 +55 +10 Financial Accounts Change in Canadian-owned assets abroad Change in foreign-owned assets in Canadian Financial account balance -16 +45 Statistical discrepancy Trade balance 0 Suppose a Canadian citizen gives money to her nephew in Belgium. This would...
Answer A is wrong. Consider the following graph. The country's resources have grown over time and...
Answer A is wrong.
Consider the following graph. The country's resources have grown over time and production has shifted from Sito S. the graph shows that after growth occurs: Wheat 9156 80+ - +- - 0 20 60 82 26.7 Select one: O a. The country exports more and imports less because the terms of trade of the country falls o b. The country exports more and imports less because the terms of trade of the country rises. O c....
capital account-current account financial account -japanese auto -chinese government -honduran worker -french company -u.k bonds -italian...
capital account-current
account financial account
-japanese auto
-chinese government
-honduran worker
-french company
-u.k bonds
-italian contrator
The Balance-of-Payments (BOP) Explained Intemational trade invalves the sale other countries (imports) goods and services to residents in other countries (exports) and the purchasse of goods and services from residents Country's balance-of- payments accounts keep track of the payments to, and receipts from, other countries for a particular time period. These include payments to forelgners for imports of goods and services, and receipts...
27. If the value of a country's exports is greater than the value of its imports,it is: A) B) C) D) running a trade surplus. running a trade deficit. in an economic contraction. likely to find its investment spending greater than its level of saving
QUESTION 9 When a country's imports is greater than its exports, the country is experiencing a Ca. trade balance cb. trade residual c. trade deficit d. trade surplus QUESTION 10 The slop of the production possilbilities frontier is equal to a. The marginal cost of the good measured on the horizontal axis b. The marginal cost of the good measured on the vertical axis c. The opportunity cost of the good measured on the horizontal axis d. The opportunity cost...
Measuring Global Trade
Most nations cannot produce all the products its people want and
need. Even if a country did become self-sufficient, other nations
would seek to trade with it to meet the needs of their own people.
Examine the chart containing trade figures from various countries
and determine the balance of trade.
Global trade enables a nation to produce what it is most capable of
producing and buy what it needs from others in a mutually
beneficial exchange relationship....
(6)
At a world price of Pw, the
quantity of exports in the graph below is given by
__________.
QSD −
QDD
QDD −
QSD
Pw − P*
SD −
DD
(7)
Suppose France is an open economy and cannot influence the
world price. If the world price is below the domestic equilibrium
price, how would an increase in domestic supply affect the price
and quantity demanded?
It would increase the price
and the quantity demanded.
It...
Balance of Payments (Billions of s) Current Accounts Canadian merchandise exports Canadian merchandise imports Merchandise trade balance Canadian service exports Canadian service imports Services balance Goods and services balance Net investment income from abroad Net unilateral transfers Current account balance +65 -96 +55 +10 Financial Accounts Change in Canadian-owned assets abroad Change in foreign-owned assets in Canadian Financial account balance -16 +45 Statistical discrepancy Trade balance 0 Suppose a Canadian citizen gives money to her nephew in Belgium. This would...
Answer A is wrong.
Consider the following graph. The country's resources have grown over time and production has shifted from Sito S. the graph shows that after growth occurs: Wheat 9156 80+ - +- - 0 20 60 82 26.7 Select one: O a. The country exports more and imports less because the terms of trade of the country falls o b. The country exports more and imports less because the terms of trade of the country rises. O c....
capital account-current
account financial account
-japanese auto
-chinese government
-honduran worker
-french company
-u.k bonds
-italian contrator
The Balance-of-Payments (BOP) Explained Intemational trade invalves the sale other countries (imports) goods and services to residents in other countries (exports) and the purchasse of goods and services from residents Country's balance-of- payments accounts keep track of the payments to, and receipts from, other countries for a particular time period. These include payments to forelgners for imports of goods and services, and receipts...
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