Final answer:
The reserves account is part of the balance-of-payments statement but does not exclusively track exports and imports of gold. To analyze the trade of goods and services, including gold, the current account balance should be considered, which shows a trade surplus, deficit, or balance based on the difference between exports and imports.
Step-by-step explanation:
When reviewing a balance-of-payments statement, checking the reserves account specifically for exports and imports of gold may be misleading. The reserves account includes transactions related to international reserves, including gold, foreign currencies, and other assets held by the central bank, but it is not exclusive to these. Instead, to view the trade of goods and services, such as gold, we would look at the current account balance which encompasses the trade balance, i.e., the difference between exports and imports of goods and services.
Step 10 in the process involves summing up the columns for Exports, Imports, and Balance. Subtracting the income payments flowing out (under Imports) from the income coming in (under Exports) and entering this figure under the Balance column determines the current account balance. This is a reflection of whether a country has a trade surplus, deficit, or balanced trade. For example, if Exports exceed Imports, the economy has a trade surplus. Conversely, if Imports exceed Exports, the economy faces a trade deficit. The merchandise trade balance, which includes gold, is the difference between exports and imports of goods, and is the first number in the Balance column of the trade balance.