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HomeCXC CAPE EconomicsThe balance of payments and exchange rates
CXC CAPE · · Economics

The balance of payments and exchange rates
Practice Questions

6 CXC CAPE Economics questions on The balance of payments and exchange rates, each with instant feedback and a full examiner-style mark scheme.

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Try 2 sample questions on The balance of payments and exchange rates

Question 1 · 1 mark · Difficulty 3/3

A record of a country's transactions with the rest of the world is the balance of:

  1. payments
  2. trade only
  3. spending
  4. supply
Show answer & explanation
✓ Answer: Apayments
The balance of payments records all external transactions.
Question 2 · 1 mark · Difficulty 3/3

When a country imports more goods than it exports, it has a trade:

  1. surplus
  2. balance
  3. reserve
  4. deficit
Show answer & explanation
✓ Answer: Ddeficit
Imports > exports is a trade deficit.
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CXC CAPE Economics: The balance of payments and exchange rates FAQ

How many CXC CAPE Economics questions on The balance of payments and exchange rates are there on Kramizo?
Kramizo currently has 6 exam-board-aligned practice questions on The balance of payments and exchange rates for CXC CAPE Economics, with new questions added every week. Each question gives you instant feedback and a full examiner-style mark scheme that tells you exactly what would earn marks on a real CXC CAPE paper. The questions span the full difficulty range — from straightforward recall (level 1) right up to multi-step reasoning and evaluation (level 3) — so the bank works for first-pass revision and final exam-week stress testing alike.
Is Kramizo free for CXC CAPE students preparing for Economics?
Yes — completely free. Every student gets 45 questions a day on the free plan, with no card required and no trial countdown. That free quota works across every subject and every topic in our bank, so you can mix The balance of payments and exchange rates practice with other Economics topics or even switch to a totally different CXC CAPE subject without paying anything. Kramizo's optional Pro plan removes the daily cap and adds detailed progress analytics, but the free tier is the real product — used by thousands of GCSE, IGCSE and CSEC students.
Are the The balance of payments and exchange rates questions aligned to the official CXC CAPE Economics syllabus?
Every question is written against the published CXC CAPE Economics specification, including the exact command words (state, describe, explain, calculate, evaluate, etc.), mark allocations, and difficulty tier you'd see on a real CXC CAPE paper. Explanations are written in the style of official examiner mark schemes — they tell you what is being awarded marks and why distractors are wrong, not just whether you got it right. The bank is continually refined to match the latest syllabus updates from CXC CAPE.
How is The balance of payments and exchange rates typically tested on CXC CAPE Economics papers?
The balance of payments and exchange rates appears across multiple question types on real CXC CAPE Economics papers — most commonly as multiple-choice questions in the objective section, structured short-answer questions in the main paper, and occasionally as part of an extended response. Kramizo's practice bank reflects that mix: 4-option MCQs, true/false statements, fill-in-the-blank key terms, multi-select questions, and ordering questions. Working through the bank gives you exposure to every question style examiners actually use.

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