2.1 - AO1

Question 1

Balance of payments

Answer 1

Balance of payments is a record of all the financial transactions that occur between a country and the rest of the world

Question 2

Current account

Answer 2

The current account records trade in goods, trade in services, investment income and current transfers

Question 3

Balance of trade

Answer 3

The difference between the value of goods and services exported and the value of goods and services imported