Respuesta :
Answer:
Answer: US had a trade deficit and China had a surplus in its BOP
Explanation:
Inflow to US economy / Outflow of Chinese economy
1. Chinese tourist spent $ 1000
2. Chinese purchased a business $600
3. Puchased goods $300
Total Inflow $1900
US Outflow / China' inflow
US purchases goods $800
Sent aid $100
Investment in stocks $200
US tourist spent $1000
Total Outflow $2100
US had a trade deficit and China had a surplus in its BOP
Chinese government purchase of US bonds' value is not given, the purchase will be treated as credit to US BOP and the income received will be credit to China's BOP.
The country that has a trade deficit is US and the country that has a trade surplus is China.
A country has a trade surplus if the value of export is greater than the value of import.
A country has a trade deficit if the value of export is less than the value of import.
If the US buys goods from China, it is considered import to US and export to China
Total value of export in China / Total value of import to US:
Cost of goods and services purchased + humanitarian aid + amount spent by tourists + amount spent in the stock market
$800 + $100 + $200 + $1000 = $2100
Total value of export in US / Total value of import to China:
Cost of goods and services purchased + humanitarian aid + amount spent by tourists
$1000 + $300 + $600 = $1900
To learn more, please check: https://brainly.com/question/13272491
