The BOP must be in balance but the current account need not be.
A)True
B)False

Question

Quizplus · Accepted Answer

The statement is true. The balance of payments (BOP) is a record of all transactions between one country and the rest of the world, including both the current account and capital account. The BOP must be in balance, meaning that the totals of the current account and capital account must be equal. However, the current account can have a deficit or surplus on its own, as long as the capital account is balancing it out.

The BOP Must Be in Balance but the Current Account