Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The balance of payments consists of the current account, the capital account, and the financial account. Explain these three different accounts of the balance of

The balance of payments consists of the current account, the capital account, and the financial account. Explain these three different accounts of the balance of payments. Then, consider how the United States has been a trade deficit country for over 50 years. Is it economically healthy for the United States to be a long-term trade deficit country? Finally, how can the U.S. balance of payments be 0 or close to 0 (with a small statistical discrepancy) when the United States is a trade deficit country? Explain in detail.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Issues in Economics Today

Authors: Robert C. Guell

8th edition

1259746399, 1259746390, 978-1259746390

More Books

Students also viewed these Economics questions

Question

2. It is the results achieved that are important.

Answered: 1 week ago

Question

7. One or other combination of 16.

Answered: 1 week ago