国际金融答案 普格尔课后习题.pdfVIP

SuggestedAnswerforInternationalFinance SuggestedAnswerforInternationalFinance SSuuggggeesstteeddAAnnsswweerrffoorrIInntteerrnnaattiioonnaallFFiinnaannccee Chap 2 Chap 2 CChhaapp 22 2. Disagree, atleast as a generalstatement. One meaning of a currentaccountsurplus is that the country is exporting more goods and services than it is importing. One might easily judgethatthisisnotgood—thecountryisproducinggoodsandservicesthatareexported, but the country is not at the same time getting the imports of goods and services that would allow it do more consumption and domestic investment. In this way a current account deficit might be considered good—the extra imports allow the country to consume and invest domestically more than the value of its current production. Another meaning of a current account surplus is that the country is engaging in foreign financial investment—it is building up its claims on foreigners, and this adds to national wealth. This sounds good, but as noted above it comes at the cost of foregoing current domestic purchasesof goodsand services.A currentaccountdeficit isthe countryrunning down its claims on foreigners or increasing its indebtedness to foreigners. This sounds bad, but it comes with the benefit of higher levels of current domestic expenditure. Different countries at different times may weigh the balance of these costs and benefits differently, sothatwecannotsimply saythatacurrentaccountsurplusisbetterthanacurrentaccount deficit. 4. Disagree.If thecountryhasasurplus(apositive value)foritsofficialsettlementsbalance, then the value for its official reserves balance must be a negative value of the same amount(so thatthe two addto zero).A negative value forthisassetitem meansthatfunds are flowing outin orderforthe countryto acquire more ofthese kinds