InternationalEconomics9theditionInstructorsManualwith國際經(jīng)濟(jì)學(xué)第九版教師手冊

1、182chapter 11the balance of paymentsmultiple-choice questions1.on the balance-of-payments statements, merchandise imports are classified in the:a.current accountb.capital accountc.unilateral transfer accountd.official settlements account2.the balance of international indebtedness is a record of a co

2、untrys international:a.investment position over a period of timeb.investment position at a fixed point in timec.trade position over a period of timed.trade position at a fixed point in time3.which balance-of-payments item does not directly enter into the calculation of the u.s. gross domestic produc

3、t?a.merchandise importsb.shipping and transportation receiptsc.direct foreign investmentd.service exports4.which of the following is considered a capital inflow?a.a sale of u.s. financial assets to a foreign buyerb.a loan from a u.s. bank to a foreign borrowerc.a purchase of foreign financial assets

4、 by a u.s. buyerd.a u.s. citizens repayment of a loan from a foreign bank5.which of the following would call for inpayments to the united states?a.american imports of german steelb.gold flowing out of the united statesc.american unilateral transfers to less-developed countriesd.american firms sellin

5、g insurance to british shipping companieschapter 11:the balance of payments1836.in a countrys balance of payments, which of the following transactions are debits?a.domestic bank balances owned by foreigners are decreasedb.foreign bank balances owned by domestic residents are decreasedc.assets owned

6、by domestic residents are sold to nonresidentsd.securities are sold by domestic residents to nonresidents7.which of the following is classified as a credit in the u.s. balance of payments?a.u.s. exportsb.u.s. gifts to other countriesc.a flow of gold out of the u.s.d.foreign loans made by u.s. compan

7、iestable 11.1 gives hypothetical figures for u.s. international transactions. on the basis of this information, answer questions 8 and 9.table 11.1.u.s. international transactionsamounttransaction(billions of dollars)merchandise imports110military transactions, net5remittances, pensions, transfers20

8、u.s. private assets abroad50merchandise exports115investment income, net15u.s. government grants(excluding military)5foreign private assets in the u.s.25compensation of employees5allocation of sdrs5travel and transportation receipts, net208.based on the information provided in table 11.1, the goods

9、and services balance equals:a.$5 billionb.$15 billionc.$20 billiond.$25 billion9.based on the information provided in table 11.1, the current account balance equals:a.$5 billionb.$10 billionc.$15 billiond.$20 billion184test bank for international economics, 9e10.unlike the balance of payments, the b

10、alance of international indebtedness indicates the international:a.investment position of a country at a given moment in timeb.investment position of a country over a one-year periodc.trade position of a country at a given moment in timed.trade position of a country over a one-year period11.which of

11、 the following indicates the international investment position of a country at a given moment in time?a.the balance of paymentsb.the capital account of the balance of paymentsc.the current account of the balance of paymentsd.the balance of international indebtedness12.concerning the u.s. balance of

12、payments, which account is defined in essentially the same way as the net export of goods and services, which comprises part of the countrys gross domestic product?a.merchandise trade accountb.goods and services accountc.current accountd.capital account13.if an american receives dividends from the s

13、hares of stock she or he owns in toyota, inc., a japanese firm, the transaction would be recorded on the u.s. balance of payments as a:a.capital account debitb.capital account creditc.current account debitd.current account credit14.if the united states government sells military hardware to saudi ara

14、bia, the transaction would be recorded on the u.s. balance of payments as a:a.current account debitb.current account creditc.capital account debitd.capital account credit15.the u.s. balance of trade is determined by:a.exchange ratesb.growth of economies overseasc.relative prices in world marketsd.al

15、l of the above16.u.s. military aid granted to foreign countries is entered in the:a.merchandise trade accountb.capital accountc.current accountd.official settlements accountchapter 11:the balance of payments18517.if the u.s. faces a balance-of-payments deficit on the current account, it must run a s

16、urplus on:a.the official settlements accountb.the capital accountc.either the official settlements account or the capital accountd.both the official settlements account and the capital account18.the current account of the u.s. balance of payments does not include:a.investment incomeb.merchandise exp

17、orts and importsc.the sale of securities to foreignersd.unilateral transfers19.the u.s. has a balance of trade deficit when its:a.merchandise exports exceed its merchandise importsb.merchandise imports exceed its merchandise exportsc.goods and services exports exceed its goods and services importsd.

18、goods and services imports exceed its goods and services exports20.the value to american residents of income earned from overseas investments shows up in which account in the u.s. balance of payments?a.current accountb.trade accountc.unilateral transfers accountd.capital accountusing the data of tab

19、le 11.2, answer question 21.table 11.2.international investment position of the united statesu.s. assets abroadu.s. government assets$800 billionu.s. private assets$200 billionforeign assets in the u.s.foreign official assets$600 billionforeign private assets$300 billion21.consider table 11.2. the u

20、.s. balance of international indebtedness suggests that the united states is a net:a.debtorb.creditorc.spenderd.exporter186test bank for international economics, 9e22.for the first time since world war i, in 1985 the united states became a net international:a.exporterb.importerc.debtord.creditor23.a

21、 country that is a net international debtor initially experiences:a.an augmented savings pool available to finance domestic spendingb.a higher interest rate, which leads to lower domestic investmentc.a loss of funds to trading partners overseasd.a decrease in its services exports to other countries2

22、4.credit (+) items in the balance of payments correspond to anything that:a.involves receipts from foreignersb.involves payments to foreignersc.decreases the domestic money supplyd.increases the demand for foreign exchange25.debt () items in the balance of payments correspond to anything that:a.invo

23、lves receipts from foreignersb.involves payments to foreignersc.increases the domestic money supplyd.decreases the demand for foreign exchange26.when all of the debit or credit items in the balance of payments are combined:a.merchandise imports equal merchandise exportsb.capital imports equal capita

24、l exportsc.services exports equal services importsd.the total surplus or deficit equals zero27.in the balance of payments, the statistical discrepancy is used to:a.ensure that the sum of all debits matches the sum of all creditsb.ensure that trade imports equal the value of trade exportsc.obtain an

25、accurate account of a balance-of-payments deficitd.obtain an accurate account of a balance-of-payments surplus28.all of the following are credit items in the balance of payments, except:a.investment inflowsb.merchandise exportsc.payments for american services to foreignersd.private gifts to foreign

26、residents29.all of the following are debit items in the balance of payments, except:a.capital outflowsb.merchandise exportsc.private gifts to foreignersd.foreign aid granted to other nationschapter 11:the balance of payments18730.the role of _ is to direct one nations savings into another nations in

27、vestments.a.merchandise trade flowsb.services flowsc.current account flowsd.capital flows31.when a country realizes a deficit on its current account:a.its net foreign investment position becomes positiveb.it becomes a net demander of funds from other countriesc.it realizes an excess of imports over

28、exports on goods and servicesd.it becomes a net supplier of funds to other countries32.reducing a current account deficit requires a country to:a.increase private saving relative to investmentb.increase private consumption relative to savingc.increase private investment relative to consumptiond.incr

29、ease private investment relative to saving33.reducing a current account deficit requires a country to:a.increase the governments deficit and increase private investment relative to savingb.increase the governments deficit and decrease private investment relative to savingc.decrease the governments d

30、eficit increase private investment relative to savingd.decrease the governments deficit and decrease private investment relative to saving34.reducing a current account surplus requires a country to:a.increase the governments deficit and increase private investment relative to savingb.increase the go

31、vernments deficit and decrease private investment relative to savingc.decrease the governments deficit and increase private investment relative to savingd.decrease the governments deficit and decrease private investment relative to saving35.concerning a countrys business cycle, rapid growth of produ

32、ction and employment is commonly associated with:a.large or growing trade deficits and current account deficitsb.large or growing trade deficits and current account surplusesc.small or shrinking trade deficits and current account deficitsd.small or shrinking trade deficits and current account surplu

33、ses36.the burden of a current account deficit would be the least if a nation uses what it borrows to finance:a.unemployment compensation benefitsb.social security benefitsc.expenditures on food and recreationd.investment on plant and equipment188test bank for international economics, 9e37.concerning

34、 a countrys business cycle, _ is commonly associated with large or growing current account deficits:a.rapid growth rates of production and employmentb.slow growth rates of production and employmentc.falling interest rates on government securitiesd.falling interest rates on corporate securities38.acc

35、ording to researchers at the federal reserve, the loss of jobs associated with a deficit in the current account tends to be:a.offset by the increase of jobs associated with a surplus in the capital accountb.reinforced by the decrease of jobs associated with a surplus in the capital accountc.a threat

36、 to the level of employment for the economy as a wholed.of no long-run economic consequence for workers who lose their jobstrue-false questionstable 11.3 shows hypothetical transactions, in billions of u.s. dollars, that took place during a year. answer the next seven questions on the basis of this

37、information.table 11.3.international transactions of the united statesamounttransaction(billions of dollars)allocation of sdrs10changes in u.s. assets abroad100statistical discrepancy15merchandise imports400payments on foreign assets in u.s.20remittances, pensions, transfers60travel and transportati

38、on receipts, net30military transactions, net10investment income, net100merchandise exports350u.s. government grants(excluding military)20changes in foreign assets in the u.s.190other services, net80receipts on u.s. investments abroad30compensation of employees10tf1. consider table 11.3. the merchand

39、ise-trade balance registered a deficit of $50 billion.tf2. consider table 11.3. the services balance registered a surplus of $100 billion.chapter 11:the balance of payments189tf3. consider table 11.3. the goods-and-services balance registered a surplus of $50 billion.tf4. consider table 11.3. the un

40、ilateral-transfers balance registered a deficit of $40 billion.tf5. consider table 11.3. the current-account balance registered a surplus of $30 billion.tf6. consider table 11.3. the “net exports” component of the u.s. gross domestic product registered $110 billion.tf7. consider table 11.3. the paym

41、ents data suggest that the united states was a “net demander” of $30 billion from the rest of the world.tf8. the balance of payments refers to the stock of trade and investment transactions that exists at a particular point in time.tf9. referring to the balance-of-payments statement, an internationa

42、l transaction refers to the exchange of goods, services, and assets between residents of one country and those abroad.tf10. the balance of payments includes international transactions of households and businesses, but not government.tf11. because the balance of payments utilizes double-entry account

43、ing, merchandise exports will always be in balance with merchandise imports.tf12. on the u.s. balance-of-payments statement, the following transactions are credits, leading to the receipt of dollars from foreigners: merchandise exports, transportation receipts, income received from investments abroa

44、d, and investments in the united states by foreign residents.tf13. on the u.s. balance of payments, the following transactions are debits, leading to payments to foreigners: merchandise imports, travel expenditures, gifts to foreign residents, and overseas investments by u.s. residents.tf14. the “go

45、ods and services” account of the balance of payments shows the monetary value of international flows associated with transactions in goods, services, and unilateral transfers.tf15. an increase in import restrictions by the u.s. government tends to promote a merchandise-trade surplus.tf16. services t

46、ransactions on canadas balance-of-payments statement would include canadian ships transporting lumber to japan, foreign tourists spending money in canada, and canadian engineers designing bridges in china.tf17. on the balance-of-payments statement, dividend and interest income are classified as capi

47、tal-account transactions.tf18. a surplus on germanys goods-and-services balance indicates that germany has sold more goods and services to foreigners than it has bought from them over a one-year period.190test bank for international economics, 9etf19. the merchandise-trade account on the balance-of-

48、payments statement is defined the same way as “net exports” which constitutes part of the nations gross domestic product.tf20. a positive balance on the goods-and-services account of the balance of payments indicates an excess of exports over imports which must be added to the nations gross domestic

49、 product.tf21. for the united states, merchandise trade has generally constituted the largest portion of its goods-and-services account.tf22. unilateral transfers refer to two-sided transactions, reflecting the movement of goods and services in one direction with corresponding payments in the other

50、direction.tf23. unilateral transfers consist of private-sector transfers, such as church contributions to alleviate starvation in africa, as well as governmental transfers, such as foreign aid.tf24. current-account transactions include direct foreign investment, purchases of foreign government secur

51、ities, and commercial bank loans made abroad.tf25. on the u.s. balance-of-payments statement, a capital inflow would occur if a swiss resident purchases the securities of the u.s. government.tf26. if toyota inc. of japan builds an automobile assembly plant in the united states, the japanese capital

52、account would register an outflow.tf27. if bank of america receives repayment for a loan it made to a mexican firm, the u.s. capital account would register an inflow.tf28. on the balance-of-payments statement, a capital inflow can be likened to the import of goods and services.tf29. the capital acco

53、unt of the balance of payments includes private-sector transactions as well as official-settlements transactions of the home countrys central bank.tf30. if the current account of the balance of payments registers a deficit, the capital account registers a surplus, and vice versa.tf31. concerning the

54、 balance of payments, a current-account surplus means an excess of exports over imports of goods, services, investment income, and unilateral transfers.tf32. if a country realizes a current-account deficit in its balance of payments, it becomes a net supplier of funds to the rest of the world.tf33.

55、concerning the balance of payments, a current-account deficit results in a worsening of a countrys net foreign investment position.tf34. in the balance-of-payments statement, statistical discrepancy is treated as part of the merchandise trade account because merchandise transactions are generally th

56、e most frequent source of error.chapter 11:the balance of payments191tf35. because a large number of international transactions fail to get recorded, statisticians insert a residual, known as statistical discrepancy, to ensure that total debits equal total credits.tf36. concerning the balance of pay

57、ments, the goods-and-services balance is commonly referred to as the “trade balance” by the news media.tf37. since the 1970s, the merchandise trade account of the u.s. balance of payments has registered deficit.tf38. although the united states has realized merchandise trade deficits since the early

58、1970s, its goods-and-services balance has always registered surplus.tf39. in the past two decades, the u.s. services balance has generally registered surplus.tf40. the u.s. unilateral-transfers balance has consistently registered surplus in the past two decades.tf41. because the balance of payments

59、is a record of the economic transactions of a country over a period of time, it is a “flow” concept.tf42. the united states would be a “net creditor” if the value of u.s. assets abroad exceeded the value of foreign assets in the united states.tf43. if a country consistently realizes a current-accoun

60、t surplus in its balance of payments, it likely will become a “net debtor” in its balance of international indebtedness.tf44. by the mid-1980s, the united states had evolved from the status of a net-creditor nation to a net-debtor nation in its balance of international indebtedness.tf45. the net-deb