For each of the following, identify in which part of the balance-of-payments account it appears (current account,

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For each of the following, identify in which part of the balance-of-payments account it appears (current account, capital account, or net change in international reserves) and whether it is a receipt or a payment.

a. A British subject’s purchase of a share of Johnson & Johnson stock

b. A Canadian’s purchase of an airline ticket from Air France

c. The Swiss government’s purchase of Canada bonds

d. A Japanese citizen’s purchase of Canadian wine

e. $50 million of foreign aid to Honduras

f. A loan by a Canadian bank to Mexico

g. A Canadian bank’s borrowing of Eurodollars

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The Economics of Money Banking and Financial Markets

ISBN: 978-0321785701

5th Canadian edition

Authors: Frederic S. Mishkin, Apostolos Serletis

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