The Neutrality Act of 1937 did not allow any shipments of arms or other goods to countries at war unless payments were made in cash and the goods were transported?

The Neutrality Act of 1937 did not allow any shipments of arms or other goods to countries at war unless payments were made in cash and the goods were transported .?

The Neutrality Act of 1937 did not allow any shipments of arms or other goods to countries at war unless payments were made in cash and the goods were transported _______.

If a country pays more money to other countries than it receives from other countries what type of balance of payments does it have?

deficit

If a country pays out more money to other countries than it receives from other countries what type of balance of payments does it have?

deficit

How does IMF help member countries in dealing with their temporary balance of payments problems?

The IMF aims at helping its memebere to overcome their balance of payments problems of temporary nature.It sells those currencies to the member countries whi

What is usually the largest single account in the overall balance of payments?

The largest single account in the overall balance of payments is, for most countries, the current account.

What are lend-lease payments?

During the mid-1930s, with it becoming clear that war was coming soon to Europe, the US Congress passed a series of laws aimed at keeping the US out of war. These "Neutrality Acts" disallowed the US from getting involved- it even made it illegal to sell weapons and ammunition to anybody involved in a war. Fast forward to 1941. Nazi Germany has overrun much of Europe. France has been defeated and occupied. President Roosevelt, despite the Neutrality Acts, wanted to help the British. So he was able to get a new law passed, which is nicknamed the "Lend-Lease Act". This law got around the Neutrality Acts by not selling weapons. Instead, the guns, tanks, ships, planes, etc were given to countries on the Allied side- mainly Britain and the Soviet Union- and those countries were supposed to give them back after the war was over. They were also supposed to make lease payments, just like if you rent a car or an apartment. However, the reality is that the US was more interested in winning the war than collecting the payments or equipment. After the war, a lot of the debts were ignored or heavily discounted, and those other countries often were allowed to keep most of the equipment they were given under the Act.

What are causes of adverse balance of payment?

Causes of DisequilibriumVarious causes of disequilibrium in the balance of payments or adverse balance of payments are as follows: 1. Development Schemes:The main reason for adverse balance of payments in the developing countries is the huge investment in development schemes in these countries. The propensity to import of the developing countries increases for want of capital for industrialization. The exports, on the other hand, may not increase because these countries are traditionally primary producing countries. Moreover the volume of exports may fall because newly created domestic industries may need them. All this leads to structural changes in the balance of payment resulting in structural disequilibrium.2. Price-Cost Structure:Changes in price-cost structure of export industries affect the volume of exports and create disequilibrium in the balance of payments. Increase in prices due to higher wages, higher cost of raw materials, etc. reduces exports and makes the balance of payments unfavorable.3. Changes in Foreign Exchange Rates:Changes in the rate of exchange is another cause of disequilibrium in the balance of payments. An increase in the external value of money makes imports cheaper and exports dearer; thus, imports increase and exports fall and balance of payments become unfavourable. Similarly, a reduction in the external value of money leads to a reduction in imports and an increase in exports.4. Fall in Export Demand:There has been a considerable decline in (he export demand for the primary goods of the underdeveloped countries as a result of the large increase in the domestic production of foodstuffs raw materials and substitutes in the rich countries. Similarly, the advanced countries also find a fall in their export demand because of loss of colonial markets. However, the deficit in the balance of payment due to the fall in export demand is more persistent in the underdeveloped countries than in the advanced countries.5. Demonstration Effect:According to Nurkse, the people in the less developed countries tend to follow the consumption patterns of the developed countries. As a result of this demonstration effect, the imports of the less developed countries will increase and create disequilibrium in the balance of payments.6. International Borrowing and Lending:International borrowing and lending is another reason for the disequilibrium in the balance of payments. The borrowing country tends to have unfavourable balance of payments, while the lending country tends to have favourable balance of payments.7. Cyclical Fluctuations:Cyclical fluctuations cause cyclical disequilibrium in the balance of payments. During depression, the incomes of the people in foreign countries fall. As a result, the exports of these countries tend to decline which, in turn, produces disequilibrium in the home country's balance of payment.8. Newly Independent Countries:The newly independent countries, in order to develop international relations, incur huge amounts of expenditure on the establishment of embassies, missions, etc. in other countries. This adversely affects the balance of payments position.9. Population Explosion:Another important reason for adverse balance of payments in the poor countries is population explosion. Rapid growth of population in countries like India increases imports and decreases the capacity to export.10. Natural factors:Natural calamities, such as droughts, floods, etc., adversely affect the production in the country. As a result, the exports fall, the imports increase and the country experiences deficit in its balance of payments.

What is the payment of war damages called?

when losing countries pay winning countries after starting a war is called, Reparations.

What is clearing code?

Clearing codes are used to route payments between banks within countries Bank clearing and routing

What is the balance of payments equilibrium?

Point in trade with other countries that exists when: 1) Imports = exports. 2) Capital inflow = capital outflow.

What was the effect of Hoover's moratorium on wartime debt and reparation payments?

It allowed for European countries to restructure their debt and recieve additinal support from Asia.

The Neutrality Act of 1937 did not allow any shipments of arms or other goods to countries at war unless payments were made in cash and the goods were transported?

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