Which of the following falls on the minus side of the U.S. balance of payments?
A) Payments to the United States for insurance
B) Payments of dividends and interest on investments abroad
C) Return on capital invested abroad
D) New foreign investments in the United States
E) Spending by American tourists overseas

Question

Quizplus · Accepted Answer

On the minus side of the U.S. balance of payments are the costs of goods imported, spending by American tourists overseas, new overseas investments, and the cost of foreign military and economic aid. A deficit results when international payments are greater than receipts.

Which of the Following Falls on the Minus Side of the U.S