When Economists Talk About a "Balance of Payments" Deficit, They

question 61

True/False

When economists talk about a "balance of payments" deficit, they refer to a condition in which total debits exceed total credits in the balance of payments account.

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Definitions:

Government Action

Measures and initiatives undertaken by a governmental body to influence the economy, societal issues, or the implementation of public policies.

Foreign Exchange Rate

The price of one country's currency in terms of another's, determining how much foreign currency can be exchanged for a unit of domestic currency.

German Marks

The official currency of Germany before the adoption of the euro, used from 1873 to 2002.

Dollar Price

This refers to the cost or value of a good, service, or asset expressed in terms of the United States dollar.