Multiple Choice
If the current account balance has a $70 million deficit and there was no change in official reserves during that year, then we know that
A) the balance of payments must register a $70 million surplus.
B) the capital account balance must have a $70 million surplus.
C) the official settlements account balance must have a $70 million surplus.
D) net transfers were -$70 million.
E) the capital account balance must have a $70 million deficit.
Correct Answer:
Verified
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