logo

Cambridge IGCSE Economics practice

Paper 2 structured question: Current account of balance of payments

Try the question first, then check the answer and practise the same topic again.

Attempt questionCurrent account of balance of payments revisionRevise the key idea

At a glance

2

Paper

3

Marks

Topic

Current account of balance of payments

Exam-style question

Try this first

Paper 2Structured Questions3 marks

A country has the following current account data for the year:

Data Table

Current Account Data

ComponentValue (in millions)
Trade in Goods500
Trade in Services200
Primary Income-100
Secondary Income50
  1. a

    Calculate the current account balance for the country.

    Aim for approximately 3 distinct marking points.

    [3]

0 of 1 part answered

Answer every part before opening the mark scheme.

Common mistake

No common mistake is linked to this question yet.

Related flashcards

Flashcard 1 of 6

Press Space to flip, arrows to move

Related practice questions

Question 1 of 5

Choose an answer, get feedback, then move sideways through the set.

0 of 4 attempted

Paper 2 structured question: Current account of balance of payments

Paper 2Structured Questions3 marks

Description

Current Account Scenario

The country has a trade surplus in goods but a deficit in services. Primary income is negative due to high foreign investments, while secondary income is positive due to remittances.

  1. a

    Discuss the implications of having a trade surplus in goods and a deficit in services for the country's economy.

    Aim for approximately 3 distinct marking points.

    [3]