Problem
Use the following information to answer the questions below. Assume that the capital account is equal to 0.
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Net unilateral transfers
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250
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Exports of goods and services
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500
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Net increase in U.S. government's nonreserve foreign assets
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30
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Net increase in foreign ownership of U.S.-based nonreserve assets
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400
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Net increase in U.S. private assets abroad
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250
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Invest income received in the United States
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200
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Net increase in U.S. ownership of official reserve assets
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20
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Imports of goods and services
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600
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Net increase in foreign ownership of U.S.-based reserve assets
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100
|
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Investment income paid abroad by the United States
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300
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a. What is the current account balance?
b. Does the financial account equal the current account?
c. What is the statistical discrepancy?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.