The table below shows information the current account for South Africa. Please use it to answer the following questions. a. Explain why the trade balance in goods shrunk from 2017 to 2018. b. In both years, South Africa had positive balances in goods and services, yet it had negative current accounts in both years. Explain why. 2018 1 457 640 1 247 225 1 175 547 71 678 210 415 96 507 24 580 South Africa Current account of the balance of payments R millions, seasonally adjusted and annualised 2017 Current account credits (Receipts) Goods and services 1 378 747 Exports of goods 1 168 509 Merchandise exports (free on board) 1 102 098 Net gold exports 66 411 Services receipts 210 238 Primary income receipts 81 637 Secondary income (current transfers) receipts 22 998 Current account debits (Payments) Goods and services 1 319 114 Merchandise imports (free on board) 1 103 570 Services payments 215 544 Primary income payments 221 201 Secondary income (current transfers) payments 61 301 Balances (Net transactions, receipts less payments) Trade balance (goods) 64 939 Balance on trade in services -5 306 Balance on goods and services 59 633 Balance on primary income -139 564 Balance on secondary income (current transfers) -38 303 Balance on services, income and current transfers -183 173 1 440 883 1 222 944 217 939 250 552 60 254 24 281 -7 524 16 757 -154 045 -35 674 -197 243 The table below shows information the current account for South Africa. Please use it to answer the following questions. a. Explain why the trade balance in goods shrunk from 2017 to 2018. b. In both years, South Africa had positive balances in goods and services, yet it had negative current accounts in both years. Explain why. 2018 1 457 640 1 247 225 1 175 547 71 678 210 415 96 507 24 580 South Africa Current account of the balance of payments R millions, seasonally adjusted and annualised 2017 Current account credits (Receipts) Goods and services 1 378 747 Exports of goods 1 168 509 Merchandise exports (free on board) 1 102 098 Net gold exports 66 411 Services receipts 210 238 Primary income receipts 81 637 Secondary income (current transfers) receipts 22 998 Current account debits (Payments) Goods and services 1 319 114 Merchandise imports (free on board) 1 103 570 Services payments 215 544 Primary income payments 221 201 Secondary income (current transfers) payments 61 301 Balances (Net transactions, receipts less payments) Trade balance (goods) 64 939 Balance on trade in services -5 306 Balance on goods and services 59 633 Balance on primary income -139 564 Balance on secondary income (current transfers) -38 303 Balance on services, income and current transfers -183 173 1 440 883 1 222 944 217 939 250 552 60 254 24 281 -7 524 16 757 -154 045 -35 674 -197 243
