EC249 Lecture Notes - Lecture 1: Capital Account, Gross Domestic Product, Net Income
Document Summary
Lesson 1: the balance of payments accounts and national income accounts. Current account which records transactions involving international trade in currently-produced goods and services, as well as international receipts and payments of income. Financial account which records international purchases and sales of financial assets. The national income and expenditure accounts which record flows of aggregate income and expenditure resulting from the production of goods and services in the canadian economy. 1. 1 the balance of payments accounts i: the individual accounts. Current account: exports/imports of goods and services, exports and services to row (receipts/credits) Imports and services from row (payments/debits: earned income flows (primary income) Investment income earned by canadians from row (r/c) Investment income paid to row (p/d: employee compensation paid by foreign employers to canadians for work in row (r/c, employee compensation paid by canadians to row for their work in canada (p/d) Capital account (the smallest of the three accounts):
