(a)
To calculate:
The merchandise
Concept Introduction:
The periodical evaluation of trade balance, i.e., the difference in the value between the imports and exports is known as Merchandise Trade Balance. The evaluation is performed on monthly and yearly basis.
Explanation of Solution
=
Here, the merchandise trade balance is -$2,075 billion. The negative balance indicates a
(b)
To calculate:
The balance on goods and services.
Explanation of Solution
Import of Good and services =
Balance on Goods and Services =
Here, the balance on goods and services is -$100 billion. The negative balance indicates a trade deficit.
(c)
The balance on current account by using the given data.
Explanation of Solution
Here, the balance on current account is $121.5 billion.
(d)
The financial account balance using the given data.
Explanation of Solution
Here, the financial account balance is -$145.0 billion. The negative balance indicates a trade deficit.
(e)
The statistical discrepancy using the given data.
Explanation of Solution
Here, the statistical discrepancy is $23.5 billion.
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Chapter 18 Solutions
Econ Macro (book Only)
- The following information on Ghana’s Balance of Payments Accounts for 2013 (million U.S. Dollars) is provided. CURRENT ACCOUNT US$ 1. Merchandise Exports ( £.o.b) 11,679.40 2. Merchandise Imports (£.o.b) -16,092.50 Trade balance -4,413.1 3. Services (net) -2,346.84 Receipts 3,539.40 Payments -5,886.24 4. Income (net) 4,155.98 Receipts -592.96 Payments 202.24 5. Current Transfers (net) 795.20 CAPITAL & FINANCIAL ACCOUNT 6. Capital Account 1,127.78 Capital Transfers 1,127.78 7. Financial Account Direct Investments 3,355.68 Portfolio Investments -87.28 Other Investments 1,737.96 Of which: Short term capital -164.12 Other capital investments 2,172.40…arrow_forwardBalance of Payments (Billions of dollars) Current Accounts U.S. merchandise exports +70 U.S. merchandise imports -67 Merchandise trade balance U.S. service exports U.S. service imports +70 Services balance +35 Goods and services balance +38 Net investment income from abroad -2 Net unilateral transfers -8 Current account balance Financial Accounts Change in U.S.-owned assets abroad Change in foreign-owner assets in the U.S. -40 +42 Financial account balance Statistical discrepancy -30 Trade balance Suppose an Argentine logging company purchases American-made chainsaws. This would be entered as a item under the section of the U.S. current account. According to the table, the United States is running a trade The current account balance suggests that U.S. current account transactions (exports and imports of goods and services, as well as inflow and outflow of investment income and transfers) created outpayments of foreign currencies from the United States that were the inpayments of…arrow_forwardExamine the following table: Value of Exports (in billions) Value of Imports (in billions) Balance Goods $100 $200 -$100 Services $150 $100 $50 Income Receipts and Payments $300 $200 $100 Unilateral Transfers $30 $60 -$30 $580 $560 $20 The data highlighted in the last row of the table represent the: A) Export-Import Balance B) Current Account Balance C) Income Balance D) Merchandise Trade Balancearrow_forward
- The following table shows a hypothetical balance-of-payments statement for the United States. All figures are in billions of dollars. Complete the table by filling in the missing cells. Balance of Payments (Billions of U.S. dollars) Current Account Goods and Services Exports 200 Goods and Services Imports -182 Trade Balance Income (net) -10 Current Account Balance Capital Account U.S. Capital Inflow 80 U.S. Capital Outflow -60 Capital Account Balance Statistical Discrepancy According to the table, the United States is running a trade . The net balance of payments equals billion.arrow_forwardExamine the following table: Value of Exports (in billions) Value of Imports (in billions) Balance Goods $100 $200 -$100 Services $150 $100 $50 Income Receipts and Payments $300 $200 $100 Unilateral Transfers $30 $60 -$30 $580 $560 $20 The data highlighted in the last row of the table represent the: A) Current Account Balance B) Income Balance C) Merchandise Trade Balancearrow_forwardWhat is nation’s current account balance on its balance of payments given the following information? Imports: $206 Exports: $250 Government spending abroad: $33 Direct investment abroad; $34 Foreign purchases of U.S. securities: $33 Net income from investment abroad: $71arrow_forward
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- Principles of Economics 2eEconomicsISBN:9781947172364Author:Steven A. Greenlaw; David ShapiroPublisher:OpenStax