DP Economics Questionbank

Calculate the value of V (exports of services) for Urbania in 2017.

Using the information in Table 5, calculate the financial account balance.

Using your answer to part (g)(i), calculate the value of W (reserve assets) in Table 5.

Using your answer to part (g)(ii), describe how the level of reserve assets in Urbania changed by the end of 2017.

Define the term current account indicated in bold in the text (paragraph [6]).

Define the term current account deficit indicated in bold in the text (paragraph [4]).

Determine the size of Gardia’s current account surplus/deficit when the sum of the financial and capital accounts is US$ 2 billion.

Define the term current account surplus indicated in bold in the text (paragraph [7]).

State one example of a debit item from the financial account of the balance of payments.

Using Table 5, calculate the value of net current transfers for Laylaland in 2020.

Using Table 5, calculate the net exports of goods and services for Laylaland in 2020.

Explain how the increase in world demand for quinoa would likely affect the current account balance of Proteinland.

Using information from Text A, paragraph [4], calculate North Macedonia’s balance of trade in 2018.

Using the information in Table 3, calculate the change in Sierra Leone’s current account balance from 2017 to 2018.

Using information from Table 1, calculate the change in the surplus on Vietnam’s balance of trade in goods with Japan between 2015 and 2019.

Using the information in Table 5, calculate the financial account balance.

Using your answer to part (g)(i), calculate the value of W (reserve assets) in Table 5.

Using your answer to part (g)(ii), describe how the level of reserve assets in Urbania changed by the end of 2017.

Define the term current account indicated in bold in the text (paragraph [6]).

List two components of the financial account (paragraph [4]).

Define the term current account indicated in bold in the text (paragraph [1]).

List two responsibilities of a central bank (paragraph [4]).

Define the term current account surplus indicated in bold in the text (paragraph [7]).

State two factors that could cause Gardia’s current account to be in deficit, even though its balance of trade in goods is in surplus.

Using an exchange rate diagram, explain how South Korea’s current account surplus could have “helped increase the South Korean won’s value” (paragraph [2]).

Explain the difference between a current account deficit and a budget deficit (paragraph [5]).

Using information from the text/data and your knowledge of economics, discuss the effects of the increasing current account deficit on Pakistan’s economy.

Using information from the text/data and your knowledge of economics, discuss the implications of Turkey’s persistent current account deficit.

Using real-world examples, discuss the possible implications of a persistent current account deficit.

Explain how a depreciation of the Urbanian dollar ($) might result in a J-curve effect.

Using price elasticity of demand (PED) data from the text and the J-curve effect, explain the most likely impact of “the falling value of the Australian dollar” on Australia’s current account (paragraph [4]).

Using information from the text/data and your knowledge of economics, discuss the possible implications on South Korea’s economy of a current account surplus.