Balance of Payments dynamics: Causes and Corrective Measures
What you'll learn
- The students will learn the meaning and implications of a balanced, surplus, and deficit Balance of Payments (BOP).
- They will explore the key factors responsible for BOP imbalances and understand their impact on a nation's economy.
- The students will learn about effective strategies to improve a country’s BOP position.
- They will understand the difference between autonomous and accommodating transactions, gaining insights into their roles in balancing international payments.
Requirements
- Basic understanding of economic principles such as supply and demand, inflation and interest rates
Description
In this course, we will explore the intricate dynamics of the Balance of Payments (BOP) and its implications for national economies. In this course, we will delve into the following critical areas:
1.Meaning of Balanced, Surplus, and Deficit Balance of Payments: We will begin by defining what constitutes a balanced BOP, as well as the implications of having a surplus or a deficit. Participants will learn how these conditions affect a country's economic stability and international relations.
2.Culprits in Balance of Payments: This section will identify the key factors that contribute to imbalances in the BOP. We will analyze various economic, political, and social influences that can lead to surpluses or deficits, including trade policies, exchange rates, and external economic shocks.
3.Strategies to Improve Balance of Payments Position: We will explore practical strategies that governments and policymakers can implement to improve their BOP position. This will include discussions on trade policies, currency management, and measures to boost exports and reduce imports.
4.Meaning of Autonomous Transactions: We will delve into the concept of autonomous transactions, which are economic activities that occur independently of the current account balance.
5.Role of Accommodating Transactions: Finally, we will examine accommodating transactions, which are adjustments made to balance the BOP when imbalances occur.
By the end of this course, you'll be equipped to analyze BOP data, understand its implications, and contribute to discussions on effective strategies for economic stability.
Who this course is for:
- Students and any individual who enjoys learning about various concepts of economics
Instructor
- 4.3 Instructor Rating
- 7,076 Reviews
- 211,519 Students
- 157 Courses
Parminder Singh has worked as a legal officer and branch manager with an insurance company owned by the government of India. Partner Puneet has also worked with a government department. Both of them took voluntary retirement and have started providing online education to students. They take pride in providing quality educational services and their aim is to ensure that the students are able to understand each and every question in an easy way. Their goal is to help the leaders of tomorrow learn to succeed today.