If there is a favourable balance of payments, it means that
A) a country exports manufactured goods and imports raw materials.
B) a country imports more than it exports for each country with which it trades.
C) a country exports more than it imports for each country with which it trades.
D) the country has more money flowing into it than out as a result of trade and other transactions.
E) a country exports raw materials and imports manufactured goods.

Question

Quizplus · Accepted Answer

A favorable balance of payments means that a country has more money flowing into it than out, reflecting a net positive from trade and other financial transactions, not necessarily tied to the specific nature of goods exported or imported.

If There Is a Favourable Balance of Payments, It Means