This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: What are the three balance of payments accounts? Briefly describe them. What is the relationship ... (Read 39 times)

michelleunicorn

  • Hero Member
  • *****
  • Posts: 565
on: Jun 29, 2018
What are the three balance of payments accounts? Briefly describe them. What is the relationship among the three?
 
  What will be an ideal response?

Question 2

Pedro's utility of wealth is 6 units for 10,000 and 10 units for 20,000. A friend gave him a lottery ticket for his birthday. The ticket won, giving him either 10,000 with probability 0.5 or 20,000 with probability 0.5.
 
  Pedro's expected utility from the lottery ticket is A) between 6 and 8 units.
  B) equal to 8 units.
  C) between 8 and 10 units.
  D) equal to 10 units.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Heffejeff

  • Sr. Member
  • ****
  • Posts: 336
Reply #1 on: Jun 29, 2018
Answer to Question 1

The three balance of payment accounts are the current account, the capital account, and the official settlements account. The current account records exports, imports, net interest, and net transfers. The capital account records foreign investment in the United States and U.S. investment abroad. Finally, the official settlements account shows changes in U.S. official reserves, the government holdings of foreign currency. The relationship is that the current account balance plus capital account balance plus official settlements account must sum to zero.

Answer to Question 2

B


michelleunicorn

  • Member
  • Posts: 565
Reply 2 on: Jun 29, 2018
Excellent

nothere

  • Member
  • Posts: 324
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

Approximately 25% of all reported medication errors result from some kind of name confusion.

Did you know?

More than 50% of American adults have oral herpes, which is commonly known as "cold sores" or "fever blisters." The herpes virus can be active on the skin surface without showing any signs or causing any symptoms.

Did you know?

Asthma is the most common chronic childhood disease in the world. Most children who develop asthma have symptoms before they are 5 years old.

Did you know?

The training of an anesthesiologist typically requires four years of college, 4 years of medical school, 1 year of internship, and 3 years of residency.

Did you know?

When taking monoamine oxidase inhibitors, people should avoid a variety of foods, which include alcoholic beverages, bean curd, broad (fava) bean pods, cheese, fish, ginseng, protein extracts, meat, sauerkraut, shrimp paste, soups, and yeast.

Leaf structure and its relationship to the C4 cycle Leaf structure and its relationship to the C4 cycle
Schematic relationship between a phylogenetic tree and taxonomy. Schematic relationship between a phylogenetic tree and taxonomy.
Relationship between body size and seed size in Galapagos finch species Relationship between body size and seed size in Galapagos finch species
How to calculate monthly payments at varying amortization periods (Question 2) How to calculate monthly payments at varying amortization periods (Question 2)
Acid–Base Balance Acid–Base Balance
IMAGES THAT DESCRIBE CELLULAR PARTS IMAGES THAT DESCRIBE CELLULAR PARTS
Video: Introduction to Tuberculosis

For a complete list of videos, visit our video library