Question : A current account deficit indicates that a country is spending more on imports than it is earning from______________.

Option 1: exports

Option 2: services

Option 3: capital

Option 4: investments

Question : If a country experiences a decrease in its foreign exchange reserves, it indicates:

Option 1: A surplus in the current account

Option 2: A deficit in the current account

Option 3: A surplus in the capital account

Option 4: A deficit in the capital account

Question : ___________ is the difference between a country's exports and imports of goods and services.

Option 1: Trade deficit

Option 2: Trade surplus

Option 3: Balance of payments

Option 4: Current account

Question : If a country experiences an increase in its foreign exchange reserves, it indicates:

Option 1: A surplus in the current account

Option 2: A deficit in the current account

Option 3: A surplus in the capital account

Option 4: A deficit in the capital account

Question : The balance of payments is a systematic record of all and transactions between a country ____________and _____________the rest of the world.

Option 1: economic, financial

Option 2: goods, services

Option 3: capital, current

Option 4: imports, exports