A depreciation improves export competitiveness, but imported energy becomes more expensive and foreign demand is weak. Which conclusion about the current account is best?
It must improve immediately
It must worsen because imports cost more
It becomes balanced because both exports and imports change
Its response is uncertain because export demand, import demand and higher import prices all matter
22 exam-style questions on OCR GCSE Economics 4.2 Balance of payments, covering 4.2.1 Balance of payments on current account, 4.2.2 Balanced account, surplus and deficit, 4.2.3 Calculate deficits and surpluses, 4.2.4 Analyse exports and imports data, 4.2.5 Importance of the balance of payments, and 4.2.6 Causes of surpluses and deficits. Each one has a worked solution and a mark scheme showing where the marks go.