Q. With reference to the ‘Balance of Payments’ which of the following statements is/are correct?
Select the correct answer using the code given below:
Q. With reference to the ‘Balance of Payments’ which of the following statements is/are correct?
Select the correct answer using the code given below:
The correct option is C
2 and 3 only
Explanation:
Statement 1 is incorrect: The BoP account consists of Current account, Capital account, and Financial Account. The BoP data is being compiled and published by RBI. A BOP statement of a country indicates whether the country has a surplus or a deficit of funds.
Statement 2 is correct: A closed economy which doesn’t carry out any trade with any other country or does not involve any interaction with another country has zero balance of payments.
Statement 3 is correct: The Balance of Payments (BoP) includes both the current account and capital account, in the capital account there is the nation's imports and exports of capital and foreign aid.
2 and 3 only
Explanation:
Statement 1 is incorrect: The BoP account consists of Current account, Capital account, and Financial Account. The BoP data is being compiled and published by RBI. A BOP statement of a country indicates whether the country has a surplus or a deficit of funds.
Statement 2 is correct: A closed economy which doesn’t carry out any trade with any other country or does not involve any interaction with another country has zero balance of payments.
Statement 3 is correct: The Balance of Payments (BoP) includes both the current account and capital account, in the capital account there is the nation's imports and exports of capital and foreign aid.
