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Balance of Payments · Question 31 of 53

Question 31

MediumOriginal question

FDI into India is $50 billion, FDI by India abroad is $20 billion, net portfolio investment is $−10 billion and net external borrowing is $15 billion. The capital account balance is

Options for question 31

Show the answer and explanation
CorrectNot quiteAnswer B

Correct answer: B

Explanation

  1. Net FDI = 50 − 20 = 30.

  2. Capital account = 30 − 10 + 15 = $35 billion.

Concept
Capital account balance
Typical time
70 s
Your time
—
The rule this testsThe capital account
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Ten questions from Balance of Payments, at your own pace.

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Ten questions from Balance of Payments, at your own pace.

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