Chapter 10: Q. 6 (page 265)

The GDP for the United States is $$18, 036$ billion and its current account balance is $- $ 484$ billion. What percent of GDP is the current account balance?

Short Answer

Expert verified

The current account balance is $2.68$ percent of GDP.

Step by step solution

Step 1. Meaning of current account balance.

The current account of a nation shows the value of trade in goods and services along with the flow of income and aid. Balance in current account means that the nation is recieving the same amount of money it is sending.

Step 2. Percent of GDP is the current account balance.

GDP $= $ 18, 036$ billion

Current account balance $= - $ 484$ billion.

The required percent is,

$(\frac{c u r r e n t a c c o u n t b a l a n c e}{G D P} \times 100) %$

= $= (\frac{484}{18, 036} \times 100) % = (0.0268 \times 100) % = 2.68 %$

Unlock Step-by-Step Solutions & Ace Your Exams!

Full Textbook Solutions
Get detailed explanations and key concepts
Unlimited Al creation
Al flashcards, explanations, exams and more...
Ads-free access
To over 500 millions flashcards
Money-back guarantee
We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

	A	B	C
SH	700	500	600
T	00	500	500
G	600	350	650
I	800	400	450

The GDP for the United States is $\(18, 036$ billion and its current account balance is $- \) 484$ billion. What percent of GDP is the current account balance?

Short Answer

Step by step solution

Step 1. Meaning of current account balance.

Step 2. Percent of GDP is the current account balance.

One App. One Place for Learning.

Most popular questions from this chapter

Study anywhere. Anytime. Across all devices.

The GDP for the United States is \(18,036billion and its current account balance is -\)484billion. What percent of GDP is the current account balance?

Short Answer

Step by step solution

Step 1. Meaning of current account balance.

Step 2. Percent of GDP is the current account balance.

One App. One Place for Learning.

Most popular questions from this chapter

Study anywhere. Anytime. Across all devices.

The GDP for the United States is $\(18, 036$ billion and its current account balance is $- \) 484$ billion. What percent of GDP is the current account balance?