Which of the following statements about the balance of payments is NOT true?
A) The BOP is the summary statement of all international transactions between one country and all other countries.
B) The BOP is a flow statement, summarizing all international transactions that occur across the geographic borders over a period of time, typically a year.
C) Although the BOP must always balance in theory, in practice there are substantial imbalances as a result of statistical errors and misreporting of current account and financial account flows.
D) All of the above are true.

Question

Quizplus · Accepted Answer

All the statements provided about the balance of payments (BOP) are true, reflecting its nature as a comprehensive record of a country's international transactions over a specified period, the theoretical requirement for it to balance, and the practical challenges that can lead to apparent imbalances.

Which of the Following Statements About the Balance of Payments