The table below shows selected components of an economy's balance of payments on current account as a percentage of GDP between 2020 and 2023.
| Year | Balance of trade in goods and services | Primary income balance | Secondary income balance | Current account balance |
|---|---|---|---|---|
| 2020 | -1.5 | +0.8 | -1.2 | -1.9 |
| 2021 | -1.7 | -0.1 | -1.1 | -2.9 |
| 2022 | -1.8 | -1.5 | -1.3 | -4.6 |
| 2023 | -2.0 | -3.4 | -1.2 | -6.6 |
It can be concluded from the data that between 2020 and 2023, the primary driver for the expansion of the current account deficit as a percentage of GDP was
the deterioration in the balance of trade in goods and services.
the widening deficit on the secondary income balance.
the deterioration in the primary income balance.
the rate of nominal GDP growth exceeding the rate of increase of the nominal current account deficit.
310 exam-style questions on AQA A Level Economics 2.6 The international economy (A-level only), covering 2.6.1 Globalisation, 2.6.2 Trade, 2.6.3 The balance of payments, 2.6.4 Exchange rate systems, and 2.6.5 Economic growth and development. Each one has a worked solution and a mark scheme showing where the marks go.