Credit entries in the U.S. balance of payments
A)result from foreign sales of U.S. goods and services, goodwill, financial claims, and real assets.
B)result from U.S. purchases of foreign goods and services, goodwill, financial claims, and real assets.
C)give rise to the demand for dollars.
D)give rise to the supply of dollars.
E)both a and c

Question

Quizplus · Accepted Answer

Credit entries result from foreign sales of U.S. goods and services, which create a demand for dollars as foreign buyers need to exchange their currency for dollars to complete the purchase.

Credit Entries in the U.S. Balance of Payments