A. Increased productivity in the manufacture of U.S. exports would reduce the relative price of U.S. export goods compared to other goods. This would decrease a balance of payments deficit.
B. A reduction of economic and humanitarian aid is a reduction of unilateral transfers out of the U.S., thus reducing the balance of payments deficit.
C. An increase in the value of U.S. currency will raise the comparative price of US products. This will reduce the number of U.S. exports and increase imports as the relative price of U.S. goods increases, thus the balance of payments deficit will increase, not decrease, if the value of the US currency increases.
D. A reduction of inflation will lower U.S. goods prices relative to foreign prices. As a result, U.S. exports will increase, reducing the balance of payments deficit.
