What was the balance of payments of pecunia in that year

Reference no: EM131145417

The nation of Pecunia had a current account deficit of $1 billion and a nonreserve financial account surplus of $500 million in 2008.

a. What was the balance of payments of Pecunia in that year? What happened to the country's net foreign assets?

b. Assume that foreign central banks neither buy nor sell Pecunian assets. How did the Pecunian central bank's foreign reserves change in 2008? How would this offi- cial intervention show up in the balance of payments accounts of Pecunia?

c. How would your answer to (b) change if you learned that foreign central banks had purchased $600 million of Pecunian assets in 2008? How would these official purchases enter foreign balance of payments accounts?

d. Draw up the Pecunian balance of payments accounts for 2008 under the assumption that the event described in (c) occurred in that year.

Reference no: EM131145417

Questions Cloud

What if the new yorker pays cash for the machine : The New Jersey company that sells the machine then deposits the $100 check in its account at a New York bank. How would these transactions show up in the balance of payments accounts of New York and New Jersey? What if the New Yorker pays cash for..

Implement recursive version of thesequential algorithm : Write a program to find solutions to the n-queens puzzle for various valuesof n. To be specific, test your program for n =4 and n =8.

How example correlates with various element of platos cave : Make sure you explain precisely how your example correlates with the various elements of Plato's cave. Then, in the second part of the paper, compare/contrast Plato's metaphysical views with the metaphysical views of either Aristotle or Buddhism.

Reflect on the feedback provided by your instructor : Reflect on the feedback provided by your instructor on the draft of the 10 Strategic Points that you previously completed. Integrate that feedback as well as your own new ideas into a revised draft the 10 Strategic Points for the potential dissert..

What was the balance of payments of pecunia in that year : How would your answer to (b) change if you learned that foreign central banks had purchased $600 million of Pecunian assets in 2008? How would these official purchases enter foreign balance of payments accounts?

Determining whether to assemble the finished bicycles : Your firm is one of the last remaining manufacturers of bicycles in the United States. Z-Mart is a U.S. retail chain with nearly 1,000 stores in fifteen countries. Z-Mart has asked you to prepare a proposal for a large number of bicycles to be sold a..

Create contactnodes and use the nodes : Create three ContactNodes and use the nodes to build a linked list - Roxanne Hughes Phone number: 443-555-2864 (3) In main(), prompt the user for three contacts and output the user's input.

What are the main steps in building a strategic plan : What are the main steps in building a strategic plan for a hospital? What are the most important elements of the plan

Differences between depreciation expense and accumulated : Explain the differences between depreciation expense and accumulated depreciation.

User Account

All Pages