【正文】 ?Barters ?Transactions among financial assets, such as securities trading ?Unilateral goods and services transfer ?Unilateral financial assets transfer ?Balance of Payments Account 31 II. Basic Accounting Principles Examples of Paired Transactions Doubleentry bookkeeping: . Imagine you buy a typewriter from the Italian pany Olivetti and pay for your purchase with a RMB1,000 check. The transactions may be recorded as follows. Source: Krugman and Obstfeld (2020). ?Balance of Payments Account C r e d i t D e b i t T y p e w r i t e r p u r c h a s e ( C u r r e n t A c c o u n t ) R M B 1 , 0 0 0 S a l e o f D e p o s i t ( F i n a n c i a l A c c o u n t ) + R M B 1 , 0 0 0 32 . 112. Suppose during your travels in France, you pay RMB200 for a dinner at the Restaurant de l’Escargot d’Or. You place the charge on your credit card. The transactions may be recorded as follows. Source: Krugman and Obstfeld (2020). ?Balance of Payments Account C re d i t D e b i t D i n n e r p u r c h a s e ( C u r r e n t A c c o u n t ) R M B 2 0 0 S a l e o f c l a i m o n t h e c o m p a n y i s s u e d y o u r c r e d i t c a r d ( F i n a n c i a l A c c o u n t ) + R M B 2 0 0 33 . Financial account transactions. Imagine your uncle Sid buys a newly issued share of stock in the . oil giant British Petroleum (BP). He places his orders with his stockbroker, paying RMB95. Source: Krugman and Obstfeld (2020). ?Balance of Payments Account C r e d i t D e b i t S id ’s p u rc h a s e o f a s h a re o f B P R M B 95 B P ’s d e p o s it o f S id ’s p a y m e n t a t IC B C + R M B 95 34 ?Balance of Payments Account . Suppose China’s banks five RMB5,000 in debt owed to them by the government of the imaginary country of Bygonia. In this case, China makes a RMB5,000 capital transfer to Bygonia, which appears as a –RMB5,000 entry in the capital account. The associated credit is in the financial account, in the form of a RMB5,000 reduction in China’s assets held abroad. Source: Krugman and Obstfeld (2020). Also, see the table below. C re d i t D e b i t C h i n a ’s d e b t f o r g i v e n e s s ( C a p i t a l a c c o u n t ) R M B 5 , 0 00 R e d u c t i o n i n b a n k s ’ c l a i m s o n B y g o n i a ( F i n a n c i a l A c c o u n t ) + R M B 5 , 0 00 35 Current Account Current account reflects the international transfer of real resources in the economy. “Specifically, the major classification are goods and services, ine and current transfers.” ?Goods (visible trade) and services (invisible trade) ?Ine. The item basically includes pensation of employees, and investment ine ?Current Transfers are distinguished from capital transfers, which are included in the capital and financial account ?Balance of Payments Account 36 Capital and Financial Account ?Capital Account. The major ponents of the account are capital transfers and acquisition/disposal of nonproduced, nonfinancial assets Capital transfers include (i)transfers of ownership of fixed assets, (ii)transfers of funds linked to, or conditional upon, acquisition or disposal of fixed assets。 Ine Source: NBSC。 in 100 million RMB G N P GDP N F P N F P / G N P N F P / G D P 1978 3 6 4 5 .2 3 6 4 5 .2 0 0 .0 0 0 .0 0 1979 4 0 6 2 .6 4 0 6 2 .6 0 0 .0 0 0 .0 0 1980 4 5 4 5 .6 4 5 4 5 .6 0 0 .0 0 0 .0 0 1981 4 8 8 9 .5 4 8 9 1 .6 2 .1 0 .0 0 0 .0 0 1982 5 3 3 0 .5 5 3 2 3 .4 7 .1 0 .0 0 0 .0 0 1983 5 9 8 5 .6 5 9 6 2 .7 2 2 .9 0 .0 0 0 .0 0 1984 7 2 4 3 .8 7 2 0 8 .1 3 5 .7 0 .0 0 0 .0 0 1985 9 0 4 0 .7 9016 2 4 .7 0 .0 0 0 .0 0 1986 1 0 2 7 4 .4 1 0 2 7 5 .2 0 .8 0 .0 0 0 .0 0 1987 1 2 0 5 0 .6 1 2 0 5 8 .6 8 0 .0 0 0 .0 0 1988 1 5 0 3 6 .8 1 5 0 4 2 .8 6 0 .0 0 0 .0 0 1989 1 7 0 0 0 .9 1 6 9 9 2 .3 8 .6 0 .0 0 0 .0 0 1990 1 8 7 1 8 .3 1 8 6 6 7 .8 5 0 .5 0 .0 0 0 .0 0 1991 21 8 2 6 .2 2 1 7 8 1 .5 4 4 .7 0 .0 0 0 .0 0 1992 2 6 9 3 7 .3 2 6 9 2 3 .5 1 3 .8 0 .0 0 0 .0 0 1993 35260 3 5 3 3 3 .9 7 3 .9 0 .0 0 0 .0 0 1994 4 8 1 0 8 .5 4 8 1 9 7 .9 8 9 .4 0 .0 0 0 .0 0 1995 5 9 8 1 0 .5 6 0 7 9 3 .7 9 8 3 .2 0 .0 2 0 .0 2 1996 7 0 1 4 2 .5 7 1 1 7 6 .6 1 0 3 4 .1 0 .0 1 0 .0 1 1997 7 8 0 6 0 .8 78973 9 1 2 .2 0 .0 1 0 .0 1 1998 8 3 0 2 4 .3 8 4 4 0 2 .3 1378 0 .0 2 0 .0 2 1999 8 8 4 7 9 .2 8 9 6 7 7 .1 1 1 9 7 .9 0 .0 1 0 .0 1 2020 9 8 0 0 0 .5 9 9 2 1 4 .6 1 2 1 4 .1 0 .0 1 0 .0 1 2020 1 0 8 0 6 8 .2 1 0 9 6 5 5 .2 1 5 8 6 .9 5 0 .0 1 0 .0 1 2020 1 1 9 0 9 5 .7 1 2 0 3 3 2 .7 1237 0 .0 1 0 .0 1 2020 135174 13 5 8 2 2 .8 6 4 8 .7 8 0 .0 0 0 .0 0 2020 1 5 9 5 8 6 .7 1 5 9 8 7 8 .3 2 9 1 .5 9 0 .0 0 0 .0 0 2020 1 8 4 7 3 9 .1 1 8 3 8 6 7 .9 8 7 1 .1 9 0 .0 0 0 .0 0 2020 2 1 1 8 0 8 210871 9 3 7 .0 5 0 .0 0 0 .0 0 19 IV. Current Account Analysis Current Account, Import amp。 s e r vi c e s s ha r e（ % ） c ont r i but i on（ pe r c e nt a ge poi nt s ） s ha r e （ % ） c ont r i but i on（ pe r c e nt a ge poi nt s ） s ha r e（ % ） c ont r i but i on（ pe r c e nt a ge poi nt s ） 1978 1993 M e a n 63. 43 6. 32 35. 41 3. 91 11. 70 0. 36 V a r i a nc e 17. 07 2. 85 24. 35 3. 50 26. 72 3. 06 1994 2020 M e a n 47. 28 4. 44 40. 49 3. 97 12. 22 1. 52 V a r i a nc e 13. 52 0. 84 18. 51 1. 96 22. 44 2. 20 1978 2020 M e a n 56. 19 5. 48 37. 69 3. 94 1 1. 93 0. 40 V a r i a nc e 17. 36 2. 36 21. 70 2. 86 24. 46 2. 86 N