When the government collects taxes and pays out transfer payments as a way to balance the economy what are these fiscal tools called?
Automatic Stabilizers - because the taxes and transfer payments change when an individuals income changes, it allows an "automatic" change that should eventually balance out.
A balance of payments deficit means there is an imbalance in the balance of payments of a country where the payments the country makes are more than the payments they received. It means the balance of payments is negative. A balance of payments deficit is,when government expenditure is more than government revenue
Autonomous items in the balance of payments capture transactions that private agents undertake when they maximize profits or welfare. These items are sometimes referred to as above the line items. Accommodating items reflect government actions aimed at altering the size and the composition of the balance of payments, and they are sometimes referred to as below the line items.
Features of Balance of Payments Balance of Payments has the following features: (i) It is a systematic record of all economic transactions between one country and the rest of the world. (ii) It includes all transactions, visible as well as invisible. (iii) It relates to a period of time. Generally, it is an annual statement. (iv) It adopts a double-entry book-keeping system. It has two sides: credit side and debit side. Receipts are recorded on…
What institution provides the primary source of similar statistics for balance of payments and economic performance worldwide?
A surplus in the balance of payments is when a nation has an increase in flow of funds from trade and investments coming in than paying out to other countries. Income from tourism increases the flow of funds into the economy from people of other countries. It results in the flow of foreign currency into the country and is a revenue to the country resulting in a favorable balance of payment.
The Chinese balance of payments seems to balance out as much as one can expect. Economists however, cannot always count on economic data from China to be fully truthful. The Communist government of China keeps track of and guides its economic policies. They do not fully comply with standards set by world monetary organizations. To further complicate matters the Chinese government sets the value of its currency by fiat, not by market data.
he balance of payments defines an economy's account of receipts and payments.it includes all current accounts and capital accounts. a deficit in current account is managed by creating a surplus in capital account and vice-versa.however,balance of trade is just the balance of exports and imports,exports receipts can be greater than import payments,this creates surplus in the economy and deficit in the other case. balance of trade is a component of BOP.
An individual may wish to transfer the balance of one credit card onto another. This is generally done when an offer on the original credit card is ending, or if the APR is higher than the new card. Often when doing this, the new credit card company may charge a fee, generally 1-5% of the balance transfer. When it says no balance transfer fee, it means there is no extra charge for a balance transfer.