The Table Contains Balance of Payments Data (+ and ?)

question 9

Multiple Choice

$$\begin{array} { | l | r | } \hline \text { Current Account } & \\\hline \text { (1) Goods Exports } & + \$ 80 \\\hline \text { (2) Goods Imports } & - 70 \\\hline \text { (3) Exports of Services } & + 20 \\\hline \text { (4) Imports of Services } & - 25 \\\hline \text { (5) Net Investment Income } & + 5 \\\hline \text { (6) Net Transfers } & - 5 \\\hline \text { Financial Account } & \\\hline \text { (7) Foreign Purchases of Assets in the United States } & + 13 \\\hline \text { (8) US Purchases of Foreign Assets Abroad } & - 23 \\\hline \text { Capital Account } &\\\hline \text { (9) Balance on Capital Account } & + 5 \\\hline\end{array}$$ The table contains balance of payments data (+ and ?) for the hypothetical nation of Zabella. All ?gures are in billions of dollars. Zabella has a balance of trade (goods)

• A) de?cit of $10 billion.
• B) surplus of $5 billion.
• C) surplus of $10 billion.
• D) de?cit of $5 billion.

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Definitions:

Deskilling

The process by which skilled labor within an industry or economy is eliminated by the introduction of technologies or systems that reduce the need for skilled workers.

Economy

The system of production, distribution, and consumption of goods and services within a society.

High Level of Education

Attainment of advanced stages of formal learning, often reflected in degrees or certifications from tertiary or higher education institutions.

Autonomy

The ability or right of individuals or entities to govern themselves or make their own decisions without external control.