Consider the following information related to the balance of payments. Make sure you understand that these are the dollar values of each item. You will need to think about whether they show up as a positive or a negative value in the balance of payments. Give all answers to two decimals.

Item (in millions of dollars)
Exports of goods and services 150
Foreign-owned financial assets in U.S. 90
Foreign-owned real assets in U.S. 133.5
Imports of goods and services 195
Income payments 75
Income receipts 112.5
U.S-owned financial assets abroad 156
U.S.-owned real assets abroad 60

The trade balance is ___________ million dollars.

Respuesta :

Answer:

The trade balance is -45 million dollars.

Explanation:

Use the following formula to calculate the trade balance

Trade balance = Exports of goods and services - Imports of goods and services

Where

Exports of goods and services = $150 million

Imports of goods and services = $195 million

Placing values in the formula

Trade balance = $150 million - $195 million

Trade balance = -$45 million