The balance of payments:
A) determines the eligibility of countries for IMF aid.
B) adds up the value of all assets and liabilities of a country on a specific date.
C) records all international transactions for a country over a period of time.
D) all of the above

Question

Quizplus · Accepted Answer

The balance of payments records all international transactions for a country over a period of time. It consists of three components: current account, capital account, and financial account. It is used to measure a country's economic performance and financial flows with the rest of the world. It is not directly related to the eligibility of countries for IMF aid or the total value of assets and liabilities of a country.

The Balance of Payments