The _____ Is the Sum of the Balance of Trade,net

question 55

Multiple Choice

The _____ is the sum of the balance of trade,net income on capital held abroad,and net transfer payments.

• A) capital account
• B) current account
• C) national account
• D) balance of payment

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Definitions:

Checking Accounts

Bank accounts that allow for both deposits and withdrawals, enabling easy access for daily transactions.

Government Bond

A debt security issued by a government to support government spending and obligations, offering a fixed rate of interest over a period of time.

Reserves

Funds or commodities set aside for future use or held as a buffer against unforeseen shortages or financial emergencies.

Discount Rate

The interest rate charged by central banks on loans to commercial banks, influencing monetary policy and liquidity.