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Meghna Thapar 5 years ago
Understanding the Balance of Payments (BOP)
The balance of payments of a country is a systematic record of all economic transactions between the residents of foreign countries during a given period of time. The transaction in the balance of payment account can be categorized as autonomous transactions and accommodating transactions. These transactions consist of imports and exports of goods, services, and capital, as well as transfer payments, such as foreign aid and remittances. A country's balance of payments and its net international investment position together constitute its international accounts.
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