The financial flow of funds and securities between the United States and the rest of the world is measured in the
A)current account.
B)capital account.
C)foreign exchange market.
D)transfers account.

Question

Quizplus · Accepted Answer

The capital account measures financial flows such as investments and loans between the United States and the rest of the world, while the current account measures the flow of goods and services. The foreign exchange market is where currencies are bought and sold, and the transfers account records non-commercial transactions such as remittances or aid.

The Financial Flow of Funds and Securities Between the United