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What does the current account measure

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1. What does the current account measure? What about the financial/capital account? Assume America exports $25,000 of corn to Japan. Record this transaction in the balance of payments. ($1,000)

2. The United States usually runs large current account deficits. What does this imply about the financial account? (Hint: think balance of payments) ($1,000)

Reference no: EM131465153

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