Discussion:
Explain where the U.S. balance of payments an entry would be recorded for each of the following:
a. A Hong Kong financier buys some U.S. corporate stock
b. A U.S. tourist in Paris buys some perfume to take home.
c. A Japanese company sells machinery to a pineapple company in Hawaii.
d. U.S. farmers gave food to starving children in Ethiopia.
e. The U.S. treasury sells a bond to a Saudi Arabian prince.
f. A U.S. tourist flies to France on Air France.
g. A U.S. company sells insurance to a foreign firm