CHAPTER 10—THE BALANCE OF PAYMENTS
MULTIPLE CHOICE
1. On the balance-of-payments statements, merchandi imports are classified in the:
a. Current account
b. Capital account
c. Unilateral transfer account
d. Official ttlements account
ANS: A PTS: 1
2. The balance of international indebtedness is a record of a country's international:
a. Investment position over a period of time
b. Investment position at a fixed point in time
c. Trade position over a period of time
d. Trade position at a fixed point in time
ANS: B PTS: 1
3. Which balance-of-payments item does not directly enter into the calculation of the U.S. gross
domestic product?
a. Merchandi imports M
b. Shipping and transportation receipts
c. Direct foreign investment
d. Service exports
ANS: C PTS: 1
4. Which of the following is considered a capital inflow?
怎么清除a. A sale of U.S. financial asts to a foreign buyer
b. A loan from a U.S. bank to a foreign borrower
c. A purcha of foreign financial asts by a U.S. buyer
d. A U.S. citizen's repayment of a loan from a foreign bank
ANS: A PTS: 1
5. Which of the following would call for inpayments to the United States?
a. American imports of German steel
b. Gold flowing out of the United States
c. American unilateral transfers to less-developed countries
d. American firms lling insurance to British shipping companies
机不可失时不再来ANS: D PTS: 1
6. In a country's balance of payments, which of the following transactions are debits?
a. Domestic bank balances owned by foreigners are decread
b. Foreign bank balances owned by domestic residents are decread
c. Asts owned by domestic residents are sold to nonresidents
d. Securities are sold by domestic residents to nonresidents
ANS: A PTS: 1
7. Which of the following is classified as a credit in the U.S. balance of payments?
守望作文600字a. U.S. exports
b. U.S. gifts to other countries
c. A flow of gold out of the U.S.
d. Foreign loans made by U.S. companies
ANS: A PTS: 1
Table 10.1 gives hypothetical figures for U.S. International Transactions.
Table 10.1. U.S. International Transactions
Amount
(billions of dollars) Transaction
Merchandi imports 110
Military transactions, net -5
Remittances, pensions, transfers -20
U.S. private asts abroad -50
Merchandi exports 115
Investment income, net 15
U.S. government grants -5
(excluding military)
Foreign private asts in the U.S. 25
Compensation of employees -5
Allocation of SDRs 5
Travel and transportation receipts, net 20
8. Referring to Table 10.1, the goods and rvices balance equals:
a. $5 billion
b. $15 billion
c. $20 billion
d. $25 billion
ANS: C PTS: 1
9. Referring to Table 10.1, the current account balance equals:
a. $5 billion
b. $10 billion
c. $15 billion
d. $20 billion
ANS: A PTS: 1
10. Unlike the balance of payments, the balance of international indebtedness indicates the
international:
a. Investment position of a country at a given moment in time
b. Investment position of a country over a one-year period
c. Trade position of a country at a given moment in time
d. Trade position of a country over a one-year period
ANS: A PTS: 1
11. Which of the following indicates the international investment position of a country at a given
moment in time?
a. The balance of payments
b. The capital account of the balance of payments
c. The current account of the balance of payments
d. The balance of international indebtedness
ANS: D PTS: 1
12. Concerning the U.S. balance of payments, which account is defined in esntially the same way
as the net export of goods and rvices, which compris part of the country's gross domestic product?
a. Merchandi trade account
b. Goods and rvices account
c. Current account
d. Capital account
ANS: B PTS: 1
13. If an American receives dividends from the shares of stock she or he owns in Toyota, Inc., a
Japane firm, the transaction would be recorded on the U.S. balance of payments as a:
a. Capital account debit
b. Capital account credit
c. Current account debit
d. Current account credit
ANS: D PTS: 1
14. If the United States government lls military hardware to Saudi Arabia, the transaction would be
recorded on the U.S. balance of payments as a:
a. Current account debit
b. Current account credit
c. Capital account debit
d. Capital account credit
ANS: B PTS: 1
15. The U.S. balance of trade is determined by:
a. Exchange rates
b. Growth of economies overas
c. Relative prices in world markets
d. All of the above
ANS: D PTS: 1
16. U.S. military aid granted to foreign countries is entered in the:
a. Merchandi trade account
b. Capital account
c. Current account
d. Official ttlements account
ANS: C PTS: 1
17. If the U.S. faces a balance-of-payments deficit on the current account, it must run a surplus on:
a. The official ttlements account
b. The capital account
c. Either the official ttlements account or the capital account
d. Both the official ttlements account and the capital account
ANS: C PTS: 1
18. The current account of the U.S. balance of payments does not include:
a. Investment income
b. Merchandi exports and imports
c. The sale of curities to foreigners
d. Unilateral transfers
ANS: C PTS: 1
19. The U.S. has a balance of trade deficit when its:
a. Merchandi exports exceed its merchandi imports
b. Merchandi imports exceed its merchandi exports
c. Goods and rvices exports exceed its goods and rvices imports
d. Goods and rvices imports exceed its goods and rvices exports
ANS: B PTS: 1
20. The value to American residents of income earned from overas investments shows up in which
account in the U.S. balance of payments?
关于情的诗句a. Current account
b. Trade account
c. Unilateral transfers account
d. Capital account
ANS: A PTS: 1
Table 10.2. International Investment Position of the United States
U.S. asts abroad
U.S. government asts $800 billion
U.S. private asts $200 billion
Foreign asts in the U.S.
Foreign official asts $600 billion
Foreign private asts $300 billion
21. Consider Table 10.2. The U.S. balance of international indebtedness suggests that the United指甲油怎么涂
States is a net:
a. Debtor
b. Creditor
c. Spender
d. Exporter
ANS: B PTS: 1
22. For the first time since World War I, in 1985 the United States became a net international:
a. Exporter
b. Importer
c. Debtor
d. Creditor
ANS: C PTS: 1
23. A country that is a net international debtor initially experiences:
a. An augmented savings pool available to finance domestic spending
b. A higher interest rate, which leads to lower domestic investment
c. A loss of funds to trading partners overas
d. A decrea in its rvices exports to other countries
ANS: A PTS: 1
24. Credit (+) items in the balance of payments correspond to anything that:
a. Involves receipts from foreigners
b. Involves payments to foreigners
c. Decreas the domestic money supply
d. Increas the demand for foreign exchange
ANS: A PTS: 1
25. Debt (-) items in the balance of payments correspond to anything that:
a. Involves receipts from foreigners
b. Involves payments to foreigners
c. Increas the domestic money supply
d. Decreas the demand for foreign exchange
ANS: B PTS: 1
26. When all of the debit or credit items in the balance of payments are combined:
a. Merchandi imports equal merchandi exports
b. Capital imports equal capital exports
c. Services exports equal rvices imports
d. The total surplus or deficit equals zero
ANS: D PTS: 1
27. In the balance of payments, the statistical discrepancy is ud to:
a. Ensure that the sum of all debits matches the sum of all credits
b. Ensure that trade imports equal the value of trade exports
c. Obtain an accurate account of a balance-of-payments deficit
孩子的逆反心理d. Obtain an accurate account of a balance-of-payments surplus
ANS: A PTS: 1
28. All of the following are credit items in the balance of payments, except:
a. Investment inflows
b. Merchandi exports
c. Payments for American rvices to foreigners
d. Private gifts to foreign residents
ANS: D PTS: 1
29. All of the following are debit items in the balance of payments, except:
a. Capital outflows
b. Merchandi exports
c. Private gifts to foreigners
d. Foreign aid granted to other nations
喇叭图标ANS: B PTS: 1
30. The role of ____ is to direct one nation's savings into another nation's investments:
a. Merchandi trade flows
b. Services flows
c. Current account flows
d. Capital flows
ANS: D PTS: 1
31. When a country realizes a deficit on its current account:
a. Its net foreign investment position becomes positive
b. It becomes a net demander of funds from other countries
c. It realizes an excess of imports over exports on goods and rvices
d. It becomes a net supplier of funds to other countries
ANS: B PTS: 1日暮穷途
