Which of the following describes Canada's overall balance of payments?

Question

Quizplus · Accepted Answer

The overall balance of payments in Canada shows how deficits in one account are exactly offset by surpluses in other accounts, indicating a balanced overall position. This is known as double-entry bookkeeping and is a fundamental principle of accounting for international transactions. It is not correct to say that Canada's balance of payments shows a deficit or surplus, or that it equals exports minus imports, as these measures only describe specific components of the overall balance of payments.

Which of the Following Describes Canada's Overall Balance of Payments