Canada's balance of payments is sometimes incorrectly said to be "in deficit" . The reason this must be incorrect is that
A) unlike most countries, Canada's balance of payments is almost always balanced.
B) the Canadian government has long been committed to avoiding balance of payments deficits.
C) it is not possible for capital flows to be in a deficit situation.
D) like any other country in the world, Canada's balance of payments is always perfectly balanced.
E) Canada's balance of payments has been in surplus for almost all of its history.
Correct Answer:
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