Table summarizes hypothetical transactions that took place during a given year.
a. Calculate the U.S. merchandise trade, services, goods and services, income, unilateral transfers, and current account balances.
b. Which of these balances pertains to the net foreign investment position of the United States? How would you describe that position?
Given the hypothetical items shown in Table 10.7, determine the international investment position of the United States. Is the United States a net-creditor nation or a net-debtor nation?
International Transactions of the United States (billions of dollars)
Travel and transportation receipts, net
Unilateral transfers, net
Allocation of SDRs
Receipts on U.S. investments abroad
Compensation of employees
Changes in U.S. assets abroad, net
Other services, net
Payments on foreign investments in the
International Investment Position of the United State (billions of dollars)
Foreign official assets in the United States
Other foreign assets in the United States
U.S. government assets abroad
U.S. private assets abroad