Q. What is the "transfer problem"? (Solved)

1. The fact that international transfers affect terms of trade when they are not taken into account.

2. Rich countries do not transfer a sufficient amount of money to poor countries.

3. Negative effects on a country that transfers money to others.

4. The severe indebtedness of some low-income countries.

  • a. The fact that international transfers affect terms of trade when they are not taken into account.
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