2- Balance Of Payments Flashcards
1
Q
Define balance of payments?
A
A record pf a country’s trade/transactions between the residents of the country and the rest of the world over a given period of time
2
Q
Balance of payment current account?
A
The net inflow of money to a country arising from international trade in goods and services, investment income and transfers
3
Q
Surplus?
A
A surplus is when the sum of export of goods, services, investment income and transfers is greater than imports
Exports>imports
4
Q
Deficit?
A
A current account deficit is when the sum of exports of goods, services, investment income and transfers is less than imports
Exports
