上课课件 《经济学专业英语教程（第三版·上）》宋利芳.ppt

4.1 Principles of the balance of payments 4.1.1 Debit and credit items 4.1.2 Double entry bookkeeping system 4.1.3 Unilateral transfer account 4.1.4 The balance of payments is always in balance 4.1.1 Debit and credit items All transactions that require a payment to foreign citizen or government, i.e., imports of goods and services, are entered in the balance of payments accounts as a debit item with a negative (–) sign. All transactions that result in a payment from foreign countries, i.e., exports of goods and services, are entered as a credit item with a positive (+) sign. 4.1.2 Double entry bookkeeping system Essentially, the balance of payments is based on a double entry bookkeeping system. Every transaction enters the balance of payments accounts twice, once as a credit and once as a debit. 4.1.3 Unilateral transfer account The unilateral transfer account or unrequited transfers is an account found in the current account of the balance of payments. Unrequited transfers may be private or public. These are payments that are outflows of funds, or debit items. Private unilateral or unrequited transfers are primarily pension payments. Public, or official, unrequited transfers are economic or military assistance exports made to foreign countries in the form of government-to-government grants. 4.1.4 The balance of payments is always in balance The bottom line of a country’s balance of payments has been adjusted by various entries so that no imbalance—surplus or deficit—exists. 4.2 Composition of the balance of payments 4.2.1 Current account 4.2.2 Capital account 4.2.3 Official reserves account 4.2.1 Current account The current account entries are for those transactions that take place and are settled during the period of the balance of payments. 4.2.2 Capital account Capital account entries are for those transactions that have a longer time horizon, such as direct and portfolio investments by one country’s companies in another country. 4.2.3 Official rese