International businesspeople need to pay close attention to


International businesspeople need to pay close attention to countries’ Balance of Payment (BOP) statistics for several reasons. Which of the following is a reason for paying attention to BOP statistics?

BOP statistics help identify emerging markets for goods and services.

As was true in the international debt crisis, BOP statistics can signal increased riskiness of lending to particular countries.

BOP statistics can indicate reductions in a country’s foreign-exchange reserves, which may mean that the country’s currency will depreciate in the future.

BOP statistics can warn of possible new policies that may alter a country’s business climate, thereby affecting the profitability of a firm’s operations in that country.

All of the above.

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Business Economics: International businesspeople need to pay close attention to
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