1-Due to improving political situation in Turkey, foreigners begin investing more on Turkish stocks and assets....

1-Due to improving political situation in Turkey, foreigners begin investing more on Turkish stocks and assets. This trend will decrease the financial account balance (less positive if positive or more negative if negative initially).

True

False

2-Foreign purchase of US denominated assets is better than US purchase of foreign currency denominated assets if the country is in financial account deficit.

True

False

3-Credit item in BoP is measured with negative sign.

True

False

Solutions

Expert Solution

Rahul Sunny answered 1 year ago

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