According to the MABP,BOP disequilibria
A)must be transitory.
B)are essentially real phenomena.
C)must be permanent.
D)are not important.

Question

Quizplus · Accepted Answer

According to the Monetary Approach to the Balance of Payments (MABP), balance of payments disequilibria are considered to be transitory because they are expected to be self-correcting through adjustments in the money supply and exchange rates.

According to the MABP,BOP Disequilibria