Ch 5 Global Trade [AP & Reg]

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Unformatted text preview: fficial reserves account indicates the U.S. (imported/exported) $5 billion of its stock of foreign reserves. [A + here means we will export a stock of foreign money ($’s will enter U.S.)] [A – here means we will import a stock of foreign money ($’s will exit U.S.)] Balance on Goods Bal. on Curr. Acct. Balance on Cap. & Financial Acct. U.S. Goods export………………….…….…..+$100 U.S. Goods imports……………………………...-80 U.S. Service exports…………………………... +40 U.S. U.S. Service imports………………………….…-90 Net Investment income………………..……….+20 Net transfers………………………………….…..-15 Balance on capital account …………………….-5 …………………….-5 Foreign purchases of assets in the U.S…… +45 Foreign U.S. purchases of assets abroad…………… -10 U.S. Official Reserves…………………………………. -5 -5 $20 -$50 G/S ­$30 $5 $30 1. The U.S. is experiencing a balance on goods(deficit/surplus)of ($10/$20/$3...
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This note was uploaded on 07/20/2012 for the course ECON 2106 at GCSU.

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