If you compare the balance of payments accounts of Japan, China, Pakistan, and Romania, you may be surprised to see that they all
A) have the same exchange rates
B) have current accounts that add up to zero
C) have current accounts that add up to one
D) add up to zero
E) are recorded in U.S. dollars

Question

Quizplus · Accepted Answer

The balance of payments accounts for any country, including Japan, China, Pakistan, and Romania, must always balance, meaning the sum of the accounts (current account, capital account, and financial account) equals zero. This is because every transaction entered as a credit in one account is entered as a debit in another.

If You Compare the Balance of Payments Accounts of Japan