Judy has just bought a car that is made in Germany. As far as the U.S. balance of payments is concerned this purchase is a(n)

Name: Judy has just bought a car that is made in Germany. As far as the U.S. balance of payments is concerned this purchase is a(n)
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Question

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The purchase of a car made in Germany by Judy, a U.S. resident, means that the U.S. is importing a product (the car) from Germany, which results in a deficit item in the U.S. balance of payments.

Judy Has Just Bought a Car That Is Made in Germany