Suppose That There Is a Current Account Deficit of $250

question 162

Multiple Choice

Suppose that there is a current account deficit of $250 billion and a financial account surplus of $260 billion. It may be concluded that the

• A) overall balance of payments is +10.
• B) overall balance of payments is -10.
• C) official reserve transaction account balance is +10.
• D) official reserve transaction account balance is -10.

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Definitions:

Venetian Republic

The Venetian Republic was a sovereign state and maritime republic in northeastern Italy, which existed for over a millennium between the 8th century and 1797.

Revolutionaries

Individuals who advocate for or engage in political revolution, aiming to radically transform the political, economic, or social structure of society.

Middle-class

A social class typically composed of individuals with moderate levels of income and education, often involved in white-collar employment or small business ownership.

Artisans and Workers

Individuals skilled in manual trades who produce goods or provide services, with artisans focusing on craftsmanship and workers often employed in industrial or manufacturing processes.