The largest single component of the United States current account is:
A) current transfers.
B) income payments and receipts.
C) goods (merchandise) imports and exports.
D) services imports and exports.

Question

Quizplus · Accepted Answer

Goods (merchandise) imports and exports are the largest component of the United States current account, accounting for around two-thirds of the total. Income payments and receipts and services imports and exports make up the remaining one-third. Current transfers are a smaller component of the current account, consisting of government and private transfers such as foreign aid and remittances.

The Largest Single Component of the United States Current Account