The primary component of the current account is the:
A) balance of trade.
B) balance of money market flows.
C) balance of capital market flows.
D) unilateral transfers.

Question

Quizplus · Accepted Answer

The primary component of the current account is the balance of trade, which measures the difference between a country's exports and imports of goods and services. It reflects the value of trade in goods (merchandise trade) and services (invisible trade) between a country and its trading partners.

The Primary Component of the Current Account Is The