Question
Fill in the chart, explaining what each of the accounts in the Balance of Payments includes. Current Account Trade in goods: ______________ and ____________________ Trade
Fill in the chart, explaining what each of the accounts in the Balance of Payments includes.
Current Account | Trade in goods: ______________ and ____________________ Trade in __________: examples include tourism, banking, insurance Income earned abroad and _________________ _______________: gifts and grants from one country to another. |
Capital Account | Capital transfers: money transferred from one country to another to _______________ _______________: when one country forgives money owed to it by another country _______________: when a country buys patents, natural resource rights |
Financial Account | Financial assets: ________________ Real assets:____________________ ____________________: foreign currencies that a central bank holds |
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