The balance of payments measures the:
A) difference between government spending and tax receipts.
B) difference between actual in?ation and the in?ation target in an economy.
C) difference between the ?nancial ?ows coming in and going out of a country.
D) relationship between the level of in?ation and the unemployment rate.

Question

Quizplus · Accepted Answer

The balance of payments is a financial statement that summarizes the economic transactions between residents of a country and the rest of the world during a specific period. It includes the difference between the financial flows coming in and going out of a country, covering trade in goods and services, financial transfers, and investments.

The Balance of Payments Measures The