Question

Which set of items correctly lists the autonomous items in the BoP?

Options

• Only capital transactions such as Debt and Banking Capital

• Exports and imports of goods, exports and imports of services, unilateral transfers, and capital transactions (FDI, Portfolio Investment)

• Official reserve transactions and Errors and Omissions

• Borrowings from the IMF and changes in foreign exchange reserves

Answer 1

Autonomous items include exports and imports of goods, exports and imports of services, unilateral transfers, and capital transactions (FDI, Portfolio Investment). Borrowings from the IMF or other international institutions and changes in foreign exchange reserves are accommodating items.