The current account is a record of all long-term direct investment, portfolio investment, and other short- and long-term capital flows.

Question

Quizplus · Accepted Answer

The current account is a record of all transactions related to international trade in goods and services, income earned on investments, and unilateral transfers. It does not include capital flows such as long-term direct investment and portfolio investment, which are recorded in the capital account.

The Current Account Is a Record of All Long-Term Direct