What is meant by the net international investment position

Reference no: EM132177254

Question: 1. What is the difference between the financial account and the current account?

2. What is meant by the "net international investment position" of the United States? What would happen to this net position if the United States experienced a current account surplus? Why?

3. China has had very large trade surpluses in recent years, but it has had official reserve transactions surpluses that are larger than the trade surpluses. What does this difference imply?

Reference no: EM132177254

Questions Cloud

Would diversification necessarily help developing countries : This chapter has indicated that diversification of the LDCs' export bundles so that they contain relatively more manufactured goods could potentially alleviate.

What was your total rate of return on the bond : In that case how much would another investor be willing to pay for the bond now? What was your total rate of return on the bond

How items would be entered into us balance of payments : Explain how the following items would be entered into the U.S. balance of payments (the initiating entry): A disaster relief shipment of wheat to Bangladesh.

Make a claim that will address the gap : Describe the existing knowledge on a topic by way of summary and reporting expressions - Make a claim that will address the gap (knowledge deficit)

What is meant by the net international investment position : What is meant by the "net international investment position" of the United States? What would happen to this net position if the United States experienced.

How marketing can use them in the creation of marketing plan : The life cycle of any product or service is key in the development of a marketing strategy. As corporate goals or consumer interests change.

What is the expected present value and the yield to maturity : The bond has a face value of $100 and a coupon rate of 5% of face. What is the expected present value and the yield to maturity

Why government accountant bother to record financial account : If the financial account balance must exactly offset the current account balance, why do government accountants bother to record the financial account?

Decreases potential gdp in artica : Explain what happens if the central bank lowers the federal funds rate. Do you recommend that the central bank lower the interest rate? Why?

User Account

All Pages