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O-LevelEconomicsInternational trade and globalisation2281/12 · Oct/Nov 2019 · Q291 Mark

What would cause a rise in the deficit on the current account of the balance of payments?

Afall in foreign direct investment into the country
Bfall in interest earned on overseas investment by the country
Cfall in the value of imported manufactured goods into the country
Drise in the revenue earned from tourism in the country

✓ Correct answer

B: fall in interest earned on overseas investment by the country

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About this question

Topic
International trade and globalisation, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source
O-Level Economics, Oct/Nov 2019 Paper 1 Variant 2, question 29.

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