What shows international transactions that involve currently produced goods and services?

Question

Quizplus · Accepted Answer

The current account in the balance of payments shows international transactions that involve currently produced goods and services, including trade in goods and services, primary income (such as earnings from investments abroad and compensation of employees), and secondary income (such as transfers of money between countries). The trade balance is a component of the current account that specifically shows the balance of trade in goods and services (exports minus imports). The capital account in the balance of payments shows international transactions that involve the exchange of financial assets or liabilities, such as foreign investment or borrowing.

What Shows International Transactions That Involve Currently Produced Goods and Services