WebNov 7, 2024 · Assertion (A): A country always tries to balance the Bop, i.e., balance in the current account equals to balance in the capital account. Reason (R): Balanced BoP indicates stable economic relations with the rest of the world. Alternatives: a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A). WebThe current account balance is equal to the difference between domestic product and national expenditure. Answer: In 2013, U.S. households, businesses, and government were buying more goods and services than they were producing. Answer: A nation is a borrower if its current account is in deficit at a point in time. Answer: Essay Questions

Saving-investment balance - Wikipedia

WebMar 26, 2024 · The financial account is a measurement of increases or decreases in international ownership of assets. The owners can be individuals, businesses, the government, or its central bank. The assets include direct investments, securities like stocks and bonds, and commodities such as gold and hard currency. WebA current account deficit implies a reduction of net foreign assets: Current account = change in net foreign assets. If an economy is running a current account deficit, it is absorbing … fisher stove in roseburg

Financial Account, Definition, and How It Works - The Balance

WebQuestion: Step 1: Determine what the current account balance equals Step 2: Determine what the current account balance should equal Step 3: Record the December 31 … WebTotal Current Transfers = -300. Therefore, the calculation of the total current account can be done as follows, Total Current Account = (X … WebThe current account and the capital account should balance, because every transaction is recorded as both a credit and a debit — double-entry accounting — and since credits must equal debits and the balance of payments = credits minus debits, the sum of the balance of payments statements should be zero. However, because of incomplete or ... fisher stoves parts