Question

An example of a deficit item on the U.S. balance of payments is :

a. the sale of a spark plug made by a U.S. firm in Michigan to a Nissan plant in Tennessee.
b. the purchase of Japanese yen by a U.S. firm. c. a deposit in a bank in Chicago by the government of Saudi Arabia.
d. the payment of a dividend by a British firm to a U.S. family.

Answer 1

b. the purchase of Japanese yen by a U.S. firm. c. a deposit in a bank in Chicago by the government of Saudi Arabia.

Step-by-step explanation: