If the United States imports goods and services for a total of $45 billion, exports goods and services for a total of $40 billion, records $4 billion as net interest and zero as net transfers, then the U.S.
Current account balance is

Question

Quizplus · Accepted Answer

The current account balance is calculated as exports minus imports plus net interest and net transfers. Here, it is $40 billion (exports) - $45 billion (imports) + $4 billion (net interest) + $0 (net transfers) = -$1 billion.

If the United States Imports Goods and Services for a Total