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

Author Question: How are the current account and the financial account related? What will be an ideal ... (Read 71 times)

MirandaLo

  • Hero Member
  • *****
  • Posts: 538
on: Jun 30, 2018
How are the current account and the financial account related?
 
  What will be an ideal response?

Question 2

Foreign outsourcing is
 
  A) the transfer of operations to foreign contractors.
  B) an example of internalization.
  C) an example of foreign direct investment.
  D) currently illegal in the U.S.
  E) the substitution of immigration for foreign direct investment.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

InfiniteSteez

  • Sr. Member
  • ****
  • Posts: 340
Reply #1 on: Jun 30, 2018
Answer to Question 1

These two accounts are inversely related: the financial account is the flip side of the current account. When a country runs large deficits in its current account, it is financed by large surpluses in its financial account. In other words, when a country imports more than it exports, it must finance that deficit with a surplus of credits in its financial account.

Answer to Question 2

A


MirandaLo

  • Member
  • Posts: 538
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

triiciiaa

  • Member
  • Posts: 349
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

The first war in which wide-scale use of anesthetics occurred was the Civil War, and 80% of all wounds were in the extremities.

Did you know?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

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?

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

Mammals posses a number of physiological pathways related to stress. One example is the hypothalamic Mammals posses a number of physiological pathways related to stress. One example is the hypothalamic
Age-related cross-sectional changes on a variety of cognitive tasks. Note that although both ... Age-related cross-sectional changes on a variety of cognitive tasks. Note that although both ...
In older adults, higher education is related to higher levels of ego development. In older adults, higher education is related to higher levels of ego development.
Nutrition-related research findings are often lead stories in newspapers, magazines, and on websites Nutrition-related research findings are often lead stories in newspapers, magazines, and on websites
An Event-Related Potential An Event-Related Potential
What is the current in Figure 16-1(b) if the diode is made of silicon and the polarity of the ... What is the current in Figure 16-1(b) if the diode is made of silicon and the polarity of the ...
Video: Chemical Equilibrium between N2O4 (colorless gas) and NO2 (brown gas)

For a complete list of videos, visit our video library