Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Open Economy Macro Economics

Question:

Balanced current Account may be present by : -

Options:

Payments on current account > Receipts on current account

Receipts on current account < Payments on current account

Receipts on current account = Payments on current account

Receipts on current account > Payments on current account

Correct Answer:

Receipts on current account = Payments on current account

Explanation:

The correct answer is option (3) : Receipts on current account = Payments on current account

A balanced current account indicates that the value of a country's exports and income from abroad is equal to the value of its imports and payments abroad.