Vidyalelo
Management · Q709

International Finance and Treasury

Graduate and Post Graduate · Management · question 709

Q709

Distinction between overall exports and imports is related to

A.
factor income
B.
transfer Payments
C.
balance of trade
Answer
D.
account balance

Answer: Option C

Solution

Answer: Option C
Solution:
Distinction between overall exports and imports is related to balance of trade. The balance of trade is the difference between the value of a country's imports and exports for a given period. The balance of trade is the largest component of a country's balance of payments. Economists use the BOT to measure the relative strength of a country's economy.