All countries of the world can simultaneously have balance-of-payments deficits.

Name: All countries of the world can simultaneously have balance-of-payments deficits.
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Question

Quizplus · Accepted Answer

It is not possible for all countries to have balance-of-payments deficits at the same time because for one country to have a deficit, another country must have a surplus. The sum of all deficits and surpluses in the world must equal zero, according to the balance of payments accounting identity.

All Countries of the World Can Simultaneously Have Balance-Of-Payments Deficits