For both years, the largest downward adjustments to Canadian southbound transactions result from definitional adjustments to eliminate withholding taxes from current unilateral transfers
, from statistical adjustments to affiliated services, and from definitional adjustments to "other" investment income.
The most stable parts (of the inflows) are remittances and the unilateral transfers
," he said.
The current account is calculated using trade balance combined with net factor income from abroad, or FDI, and net unilateral transfers
from abroad, or remittances.
One of the purposes of this article is to develop further some of the ideas that appear in my book Then Athena Said: Unilateral Transfers
and the Transformation of Objectivist Ethics.
Then Athena said; unilateral transfers
and the transformation of objectivist ethics.
In the fourth quarter, the balance on goods and services was -$171 billion, net income $2 billion, and net unilateral transfers
The deficit on unilateral transfers
2] As in the case of the investment-income component, net unilateral transfers
are fairly small, and contribute little to the magnitude or variability of the overall current account.
The current account was redefined by removing a part of the measure of unilateral transfers
and including it in the new capital account.
Under MRQ's current reporting system, unilateral transfers
of funds among tax accounts by MRQ normally come to the taxpayer's attention only upon issuance of an assessment.
5 billion or so of aid in the form of unilateral transfers
that were received, during the last two months of the year, in order to cover the losses brought about by the Gulf crisis.
For both years, the largest downward adjustments to the Canadian southbound estimates are from the elimination of the withholding taxes in current unilateral transfers
(definitional adjustment), from adjustments to bring "other" investment income to a net basis (methodological adjustment), and from adjustments for statistical differences in affiliated services.