_____ are money-like assets that are held by governments and that are recognized by governments as fully acceptable for payments between them.
A. Official international reserve assets
B. Unofficial international assets
C. Official domestic assets
D. Unofficial reserve assets
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Which of the following is considered a capital inflow?
A sale of U.financial assets to a foreign buyer
B. A loan from a U.bank to a foreign borrower
C. A purchase of foreign financial assets by a U.buyer
D. A U.citizen’s repayment of a loan from a foreign bank
The role of international _____ is to direct one nation’s savings into another nation’s investments.
A. merchandise trade flows
B. services flows
C. unilateral transfers
D. capital flows
The net value of flows of goods, services, income, and unilateral transfers is described as the:
A. capital account balance.
B. current account balance.
C. trade balance.
D. official reserve balance.
The financial account in the U.S. balance of payments includes:
A. everything that is included in the current account.
B. payments of pensions to U.citizens who now live in foreign countries.
C. profits that Nissan of America sends back to Japan.
D. new U.investments in foreign countries.
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