2. Looking at credits and debits The following table shows the value of credits and debits in four balance-of-payments accounts in the fictional economy of Pagros. Debits Balance-of-Payments Account (Billions of dollars) 40 20 35 25 Merchandise Services Income Receipts Unilateral Transfers Total Based on the total values of Pagros's debits and credits, there is Pagros. This means that Pagros has a deficit in the Term Current Account Balance 120 Balance of Trade How to Calculate Credits (Billions of dollars) 70 20 20 30 Complete the following table based on the credits and debits presented in the previous table. money flowing out of Pagros to foreign countries than there is flowing into less 140 more Deficit or Surplus Size of Deficit or Surplus (Billions of dollars)

2. Looking at credits and debits The following table shows the value of credits and debits in four balance-of-payments accounts in the fictional economy of Pagros. Debits Balance-of-Payments Account (Billions of dollars) 40 20 35 25 Merchandise Services Income Receipts Unilateral Transfers Total Based on the total values of Pagros's debits and credits, there is Pagros. This means that Pagros has a deficit in the Term Current Account Balance 120 Balance of Trade How to Calculate Credits (Billions of dollars) 70 20 20 30 Complete the following table based on the credits and debits presented in the previous table. money flowing out of Pagros to foreign countries than there is flowing into less 140 more Deficit or Surplus Size of Deficit or Surplus (Billions of dollars)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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