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This powerpoint is purposefully made for iGCSE Economics using the most recent Cambridge syllabus.

It fully covers - 6.4 Current account of the balance of payments

6.4.1 Structure of the current account of the balance of payments
• components of the current account of the balance of payments:– trade in goods– trade in services– primary income– secondary income
• calculation of deficits and surpluses on the current account of the balance of payments and its component sections

6.4.2 Causes of current account deficit and surplus
• reasons for current account deficits and surpluses

6.4.3 Consequences of current account deficit and surplus
• impact on GDP, employment, inflation and foreign exchange rate

6.4.4 Policies to achieve balance of payments stability
• the range of policies available to achieve balance of payments stability and their effectiveness