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Home › CBSE Class 12 (Arts) › Economics › Open Economy Macroeconomics › Without reserve movements, current account plus …

Without reserve movements, current account plus capital account equals what?

ANational income
BExactly zero
CTotal exports
DOfficial reserves
Answer & Solution
Correct answer: B. Exactly zero
The two balances offset each other exactly in BoP equilibrium, so their sum is zero.
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