Economics Aggregate Demand And Supply Questions
The concept of the balance of payments refers to a record of all economic transactions between a country and the rest of the world over a specific period of time. It includes both the current account, which records the trade in goods and services, as well as the capital account, which records the flow of financial assets. The balance of payments is used to assess a country's economic health, as it provides information on its trade balance, foreign investment, and overall financial position with other countries.