Suppose the nation of Pecunia had a current account

What happened to Pecunia’s net foreign assets in 2013?

The CA deficit indicated net foreign assets decreased by $1 billion.

How would the purchase of Pecunian assets by foreign central banks enter Pecunia’s balance of payments account? How would these purchases enter the balance of payments accounts of foreign nations?

A capital inflow of $500 million for Pecunia.

A capital outflow of $500 million for foreign nations.

How did Pecunian central bank’s foreign reserve change in 2013? What is Pecunia’s balance of payment for the year?

Pecunia’s balance of payments was -1$billion+$600million+$500million=$100 million=-R. R=-

$100million

Pecunia’s central bank increased its foreign reserve holding by $100 million.

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