(1) What was the Balance of Trade? What was the Service Trade Balance? (4)

(2) What was the Current Account balance and the main driver in the Current Account? (4)

(3) What was the overall balance (ignoring capital account and net errors and omissions)? (4 points) 6

(4) What would be the amount for Reserves and related items on this BOP? Explain how the foreign reserves for Turkey changed due to central bank intervention in 2000. (4)

3. (16 points) The following was the current account and financial account information (in millions of dollars) for Turkey in 2000 before its currency crisis in 2001. 31,664 54,041 19,484 8,149 Current Account Goods Exports Goods Imports Balance of Trade (BOT) Service Exports Service Imports Service Trade Balance Net Income Balance Net Transfers Balance Financial Account Net Direct Investment Net Portfolio Investment Net other Investments -4,002 5,225 - 112 -1,022 -8,311 3. (16 points) The following was the current account and financial account information (in millions of dollars) for Turkey in 2000 before its currency crisis in 2001. 31,664 54,041 19,484 8,149 Current Account Goods Exports Goods Imports Balance of Trade (BOT) Service Exports Service Imports Service Trade Balance Net Income Balance Net Transfers Balance Financial Account Net Direct Investment Net Portfolio Investment Net other Investments -4,002 5,225 - 112 -1,022 -8,311