1. What are functional responsibilities of the international monetary system (IMS)? Name two institutions that are part ...

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1. What are functional responsibilities of the international monetary system (IMS)? Name two institutions that are part of the IMS.


2. What are the main components of the current account? Give one credit and one debt item.


3. State the different groupings (accounts) in the balance of payments account. Why must the balance of payments account always balance?


4. The U.S. dollar has maintained or increased its value over the past 20 years despite running a gradually increasing current account deficit. Why has this phenomenon occurred?










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