Practice Final Exam F10

Practice Final Exam F10 - ECO369 International Economic...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
ECO369 International Economic Issues GVSU, Wei Sun Practice Final Exam I. Multiple Choice Questions 1 2 3 4 5 6 7 8 9 10 11 12 1. In the 1999-2000, the high current account deficit in the U.S. was mainly fueled by a) excessive borrowing by the foreigners. b) excessive public sector borrowing. c) high domestic investment. d) high household savings rate 2. The Japanese government liquidates $10 million worth of its holdings of 30-year U.S. Treasury bonds in the open market and purchases an equivalent amount of U.S. corporate stocks with the sales receipt. How will this transaction affect the U.S. balance of payments? a) Credit investment income and debit private capital. b) Credit unilateral transfer and debit official capital. c) Credit private capital and debit official capital. d) Credit and debit official capital. 3. Toys R Us purchases $10 million worth of toys from China, payable in 3 months. How will this transaction be recorded in the U.S. balance of payments statement? a) Credit merchandise and debit private capital.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 12/14/2010 for the course ECO 369 taught by Professor Sun during the Fall '10 term at Grand Valley State University.

Page1 / 3

Practice Final Exam F10 - ECO369 International Economic...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online