Introduction The national income accounts and the balance of payments accounts are essential tools for studying the macroeconomics of open, interdependent economies National income accounting Records all the expenditures that contribute to a country income and output a Balance of payments accounting Helps us keep track of both changes in a countrys indebtedness to foreigners and the fortunes of its export- and import-competing industries4 ◼ The national income accounts and the balance of payments accounts are essential tools for studying the macroeconomics of open, interdependent economies. ◼ National income accounting – Records all the expenditures that contribute to a country’s income and output ◼ Balance of payments accounting – Helps us keep track of both changes in a country’s indebtedness to foreigners and the fortunes of its export￾and import-competing industries Introduction