A-LevelEconomicsBalance of PaymentsFeb/Mar 2016Paper 1 Q221 Mark
What would identify a country with a fundamental balance of payments disequilibrium?
Aalternate annual deficits and surpluses in the current account
Bcontinually growing balancing item
Clarge short-term outflow of foreign direct investment
Dpersistent rise in foreign currency reserves
✓ Correct Answer
The correct answer is D. This question tests the candidate's understanding of balance of payments within the Economicssyllabus. The examiner's mark scheme requires...
📋 Examiner Report & Trap Analysis
Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...
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