A Current Account Surplus Cannot Be Balanced by a Capital

question 124

True/False

A current account surplus cannot be balanced by a capital account deficit of the same size.

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Definitions:

Present Discounted Value

The current value of a future amount of money or stream of cash flows, adjusted for the time value of money.

Human Capital

The economic value of an individual's skills, knowledge, and experiences.

Future Earnings

Projected profits or income of a company or individual, often used in investment analysis to evaluate potential growth.

Nonmonetary Considerations

Factors influencing decisions that are not based on money or financial gain, such as ethics or environmental impact.