The capital account balance includes all foreign private and government investment in the United States netted against U.S. investments in foreign countries.

Question

Quizplus · Accepted Answer

This statement is true. The capital account balance is a record of all international transactions related to investments in physical or financial assets. It includes both private and government investment, as well as any changes in ownership or interest in those assets. The balance is calculated by netting foreign investments in the United States against U.S. investments in foreign countries, resulting in a surplus or deficit.

The Capital Account Balance Includes All Foreign Private and Government