The Following Table Contains Data for the U

question 111

Multiple Choice

The following table contains data for the U.S. balance of payments in a prior year. Answer the question on the basis of this information. All figures are in billions of dollars. U.S. goods exports +$793
U.S. goods imports -1573
U.S. exports of service +280
U.S. imports of services -222
Net investment income +5
Net transfers -81
Capital account -5
Foreign purchases of assets in the U.S. +1198
U.S. purchases of foreign assets -395
Refer to the table above. There was a:

• A) Trade deficit, but a current account surplus
• B) Trade surplus, but a current account deficit
• C) Trade surplus, and a current account surplus
• D) Trade deficit, and a current account deficit

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Definitions:

Expertise

The extensive knowledge or skill in a specific field or area, often acquired through experience or education.

Persuasive

Having the power to convince or influence someone to do or believe something through reasoning or the use of emotion.

Cognitive Dissonance

The mental discomfort experienced by a person who holds two or more contradictory beliefs, ideas, or values at the same time.

Smoking

The act of inhaling and exhaling the smoke of tobacco or a drug.