The difference (balance) between asset exports and asset imports is called:

Question

Quizplus · Accepted Answer

The difference (balance) between asset exports and asset imports is part of the financial account, which tracks international purchases and sales of financial assets. Therefore, the correct choice is D, the balance on the financial account. Choices A, B, and C are not correct because they refer to other components of the balance of payments. The current account (A) includes the balance of trade in goods and services, income receipts and payments, and transfers. The balance of debt (B) refers to the difference between borrowing and lending by an economy. Capital remainder flows (C) are not a recognized concept in international economics, and are not part of the balance of payments.

The Difference (Balance) Between Asset Exports and Asset Imports Is