NFL, NFD, NFE? Current economic issues? (1 Viewer)

[CanU_Not]

Could someone please explain net foreign liabilities, debt and equity as well as the current account deficit to me in English? The teacher's explanation pretty much flew over my head lol and all the websites contain too much jargon.

Also, what are some current economic issues in Australia? (specifically). I promise I'll start reading the newspaper from henceforth.

 

[mreditor16]

At the moment, don't worry about it too much, mate. Try reading through the relevant sections in the Prelim Leading Edge Textbook (Riley's explanation of it may overcomplicate it a tad). If it's still hazy, wait until next year, because when you come to the section External Stability, in Topic 3 – Economic Issues, you will learn about NFL (net foreign liabilities), NFD (net foreign debt) and NFE (net foreign equity) again, as they are important concepts regarding external stability. Anyway, when your teacher covers it again, try understanding it as much as possible and ask as many questions as necessary to iron out any confusion that you have. After that, read through Dixon’s (Leading Edge) explanation in the textbook you will be using for the HSC course, and then to consolidate, try reading through the explanation in the Riley textbook for the HSC course. If you’re still having problems, then try asking your teacher again or do some research online or, of course, post on BOS asking for clarification on any confusion you have.

Good luck, in the meantime

 

[mreditor16]

Ooh, and in regard to your question about current economic issues, I've fallen out of touch with economic issues this year (I completed HSC economics last year), so I can't help there. Although I will be getting back in touch with all of it from November (when my life is reinstated lol), so might be able to help more then.

But, to find current economic issues, just look through the last few months worth of articles in the Business/Economics section of the SMH websites, and read through some articles. Especially try reading through and learning from the articles which specifically are relevant to HSC content (e.g. you might find an article from a year ago about Dutch Disease – and that comes up in Topic 2 – so that would be a good article to read) But don’t overdo this. What I would suggest is you know subscribing to SMH Business section until your HSC next year, and that will be more than enough to keep tabs with current economic issues. There is definitely no need to be reading the paper everyday. Haha

Good luck

 

[CanU_Not]

Thanks mreditor16

 

[mreditor16]

Ooh and I just saw that you had mentioned the Current Account Deficit as well. That is actually a concept that is not in the Prelim Syllabus. So, if your teacher mentioned during the Prelim Course, don't worry - you're going to properly cover it in Year 12 - there's actually a lot to learn about it in the HSC course.

Okay good luck

 

[CanU_Not]

Oh, I think there's a bit of a misunderstanding xD Since it's Term 4, my school's actually started on the Year 12 syllabus- the global economy. Would somebody be able to tell me if the above ^ is needed for that topic?

 

[mreditor16]

Oh, I think there's a bit of a misunderstanding xD Since it's Term 4, my school's actually started on the Year 12 syllabus- the global economy. Would somebody be able to tell me if the above ^ is needed for that topic?

Haha nope I understand what is going on - I realise that you have started the Year 12 Course, but the concepts you mentioned in your original post are all properly covered in Topics 2 and 3 - the textbook might mention them when you're doing Topic 1, but don't worry about it. You will properly learn about it in Topics 2 (Australia in the Global Economy) and 3 (Economic Issues). Right now, you're doing Topic 1 (The Global Economy) if I have understood properly. So don't worry for now - a problem is that, since everything in Economics is inter-linked, concepts you haven't encountered yet might raise its head now, so keep that in mind

 

[CanU_Not]

Haha nope I understand what is going on - I realise that you have started the Year 12 Course, but the concepts you mentioned in your original post are all properly covered in Topics 2 and 3 - the textbook might mention them when you're doing Topic 1, but don't worry about it. You will properly learn about it in Topics 2 (Australia in the Global Economy) and 3 (Economic Issues). Right now, you're doing Topic 1 (The Global Economy) if I have understood properly. So don't worry for now - a problem is that, since everything in Economics is inter-linked, concepts you haven't encountered yet might raise its head now, so keep that in mind

Ohkays then THANKS!