Question

Consider each of the following from the perspective of the u.s. classify each of the following as either an import of a good or service; an export of a good or service; an import of a financial asset; or an export of a financial asset.

group of answer choices
a. tesla - a u.s. company - began building a factory dedicated to large-scale production of batteries in shanghai. u.s. import of a financial asset
b. a german business executive pays an american consultant for financial advice. u.s. export of a good
c. an american family spends $2,000 on hotels and meals while taking a vacation in london. [ choose ]
d. u.s. oil refineries purchased us$53 billion of crude petroleum from canadian oil companies. [ choose ]
e. you sell a hand-knitted scarf on etsy to a woman who lives in france. [ choose ] f. a saver in mexico purchases $100 in u.s. government bonds.

Answer 1

The classification of each scenario from the perspective of the U.S. is provided, including examples and reasoning for each classification.

Step-by-step explanation:

Based on the provided information, the classification of each scenario from the perspective of the U.S. is as follows:

1. Tesla building a factory in Shanghai would be classified as a U.S. export of a financial asset because it involves the transfer of capital from the U.S. to the foreign country for investment purposes.
2. The payment made by a German business executive to an American consultant is considered a U.S. export of a service because it involves providing financial advice as a service to a foreign individual.
3. The American family spending $2,000 on hotels and meals while vacationing in London is considered a U.S. import of a service because it involves purchasing a service (hotels and meals) from a foreign country.
4. U.S. oil refineries purchasing $53 billion of crude petroleum from Canadian oil companies is classified as a U.S. import of a good because it involves purchasing a physical product (crude petroleum) from a foreign country.
5. The sale of a hand-knitted scarf on Etsy to a woman who lives in France is classified as a U.S. export of a good because it involves selling a physical product (scarf) from the U.S. to a foreign country.