The statistical discrepancy in the balance of payments

Question

Quizplus · Accepted Answer

The statistical discrepancy can be positive, negative or zero as it represents the difference between recorded transactions in the balance of payments and actual money flows, which can be subject to errors and omissions. Therefore, the statistical discrepancy can be either positive (if recorded transactions underestimate actual money flows), negative (if recorded transactions overestimate actual money flows), or zero (if recorded transactions exactly match actual money flows).

The Statistical Discrepancy in the Balance of Payments