The Table Shows a Balance of Payments Statement for Transylvania

question 235

True/False

$$\begin{array} { | l | c | } \hline \text { (1) Goods Exports } & + \$ 15 \\\hline \text { (2) Goods Imports } & - 17 \\\hline \text { (3) Service Exports } & + 5 \\\hline \text { (4) Service Imports } & - 2 \\\hline \text { (5) Net Investment Income } & - 5 \\\hline \text { (6) Net Transfers } & + 4 \\\hline \text { (7) Foreign Purchases of Assets } & + 5 \\\hline \text { (8) Purchases of Foreign Assets } & - 11 \\\hline \text { (9) Balance on Capital Account } & + 1 \\\hline\end{array}$$ The table shows a balance of payments statement for Transylvania. All ?gures are in billions of
dollars. Foreigners made a larger volume of asset purchases in Transylvania during the year than
Transylvanians made asset purchases abroad.

---

Definitions:

Necessary Item

A good or service required for basic living or to fulfill certain legal obligations.

Necessary Item

Essential goods or services required for individuals to maintain their living standard or for businesses to operate efficiently.

Disaffirm

To officially reject, deny, or revoke a statement or agreement, especially in the context of contracts by minors or under conditions of misrepresentation.

Undue Hardship

A situation where accommodations or changes, typically required by law, would result in significant difficulty or expense for an employer or institution.