Why can not all balance of payments accounts be in surplus

Reference no: EM13685644

1. Why can't all the balance of payments accounts be in surplus?

2. What factors decide the demand for British pounds in foreign exchange markets? How are exchange rates determined under a flexible exchange rate system?

3. How can tariffs protect U.S. jobs? Do tariffs lead to a net increase in jobs? Describe. Who are the winners and losers from trade restrictions? Given that trade restrictions impose losses on an economy, why are trade restrictions so common?

4. Explain developing countries and how they differ from industrial market economies. How can international trade and development? In what ways does the international economy impose problems on developing countries?

5. How can two countries both are better off as a result of trade?

Reference no: EM13685644

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