All of the following are debit items in the balance of payments except ?
Correct answer: B. merchandise exports
- A. capital outflows
- B. merchandise exports
- C. private gifts to foreigners
- D. foreign aid granted to other nations
Explanation
Exports bring foreign exchange receipts into the country and are recorded as credit items. Capital outflows, private gifts to foreigners, and foreign aid granted abroad involve payments to foreigners and are debit items.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Macroeconomics
The economy is studied as a whole through national income, gross domestic product, inflation, unemployment, economic growth and business cycles. Coverage includes aggregate demand and supply, consumption and investment, money and banking, fiscal and monetary policy, exchange rates and balance of payments, which distinguishes macroeconomics from the study of individual markets.
Practise Macroeconomics
1,499 free Macroeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Macroeconomics questions
The role of _______ is to direct one nation's savings into investments of another nation?
The U.S balance of payments is constructed by ?
In the balance of payments travels and tourism are included in the category of ?
A country's transactions with the rest of the world are recorded in the ?
When all of the debit or credit items in the balance of payments are combined ?
Credit (+) items in the balance of payments correspond to anything that ?