The Following Table Shows the Balance of Payments Statement of Transylvania

question 122

True/False

The following table shows the balance of payments statement of Transylvania for 2013.All the figures are in billions of dollars. Refer to the above data.In a flexible exchange-rate system, the balance of payments position of Transylvania would cause the international value of its currency to depreciate.

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Definitions:

Industry

The economic activity concerned with the processing of raw materials and manufacture of goods in factories.

Firms

Business entities that produce goods or offer services, ranging in size from small to multinational corporations.

Herfindahl-Hirschman Index

A measure used to assess the level of competition within an industry, determined by calculating the sum of the squares of the market shares of all firms within the market.

Industry

The production of goods or services within an economy that is characterized by a specific focus, such as technology, finance, or manufacturing.