Advertisements
Advertisements
Question
A Balance of Payments surplus arises when:
Options
Autonomous receipts > Autonomous payments
Autonomous receipts = Autonomous payments
Autonomous payments > Autonomous receipts
Accommodating receipts > Autonomous receipts
MCQ
Advertisements
Solution
A BoP surplus is defined as a situation where autonomous receipts exceed autonomous payments. The resulting surplus is then financed through accommodating transactions.
shaalaa.com
Is there an error in this question or solution?
