Net foreign liabilities? (1 Viewer)

[zahmad]

I was making some notes, and couldn't anything on foreign libilities (i.e. the liabilities, not (net) equity+debt) from the leading edge textbook, and it doesn't seem to have a small, coupke of setence summary like the ones given for CAD and foreign debt on Pg 185 (2006 edition)....anyone have nay ideas?

 

[munchiecrunchie]

umm whats ur question?

 

[zahmad]

umm whats ur question?

The dot point in the syllabus is net forign debt as a % of GDP & another fot point is net foreign liabilities as a % of GDP....there doesn't seem to be anything on the second dot point in the book

 

[gnrlies]

I think you are missing what is meant by net foreign liabilities.

Foreign liabilities is net foreign debt + net foreign equity.

This is covered in the leading edge textbook

I.e. debt = short term financial flows such as loans and speculative investments
equity = stable investments over 10% of a firms worth

Im sorry if this is not what is unclear for you, but I dont know what you mean

 

[zahmad]

I know that....but there are two dot points...one with net foreign liabilities and one with net foreign debt....that's what confuses me....isn't one part of the other?

 

[BackCountrySnow]

yes foreign liabilities = foreign debt + foreign equity.

 

[gnrlies]

yes foreign liabilities = foreign debt + foreign equity.

yes but foreign debt is uniquely different to foreign equity.

 

[BackCountrySnow]

yep.