Suppose a country has a current account surplus and that there is no intervention by finance ministries or central banks. This current account surplus indicates that the country has

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A current account surplus implies that the country is exporting more than it is importing, which means it is a net lender to the rest of the world. This typically results in a capital account deficit, as the country is investing more abroad than it is receiving in investments from abroad.

Suppose a Country Has a Current Account Surplus and That