By the rules of the World Trade Organization, or the European Union, and are generally

Reckoned to be ineffective in the long term.

Notes to Text 14.7.1.2

Savings — сбережения

To enhance — увеличивать, наращивать

To persist — удерживаться, сохраняться

To reckon — считаться

14.7.1.3. Read the text “Balancing Item” and make an account of it in English.

Balancing Item

Data for the balance of payments accounts are collated on the principle of double-entry bookkeeping.

For example, the value of a shipment of the export from the UK of a motor vehicle to the

USA will be recorded as a credit item. The payment for the motor vehicle by the US importer by,

Say, his depositing a sum to the account of the UK exporter in a bank in New York will be recorded

As a debit item to the same amount. In principle, for every credit item there is a corresponding

Debit item and for every debit item a corresponding credit item, although, by convention, the figures

Are published in a single column with positive (credit) and negative (debit) signs. The entries

In the account should, therefore, add up to zero. In practice, this is difficult to achieve for a number

Of reasons. For instance, the difficulty of collecting accurate information, a difference in the timing

Between the two sides of the balance, a change in exchange rates. Because of such measurement

Problems, recourse has to be made to the balancing item which simply adjusts the difference