QUESTION IMAGE
Question
7 the ___ is made up of business investment, purchases and sales of stocks and bonds, and short term banking transactions that represent flows into and out of a nation
international monetary balance
balance of trade
capital account
current account
Brief Explanations
- The international monetary balance is a broad concept but not specifically defined as in the question.
- The balance of trade focuses on the difference between exports and imports of goods.
- The capital account records business investment, stock/bond transactions, and short - term banking transactions (capital flows).
- The current account deals with trade in goods and services, income, and current transfers.
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capital account