Macro

Balance of Payments

Medium

The transactions which are determined by the gap in the balance of payments, whether a deficit or surplus is called :

Dirty floating transactions

Accommodating transactions

Availability transactions

Managed floating transactions

✅ Correct Option: 2

Accommodating transactions (also called "below the line" transactions) are undertaken to cover the deficit or surplus in the balance of payments. They are determined by the gap in autonomous transactions. Examples include borrowing from IMF or using foreign exchange reserves. Dirty floating and managed floating relate to exchange rate systems, not BOP gap-filling.

2023: 1 June Shift 1

Capital Account of balance of payment includes :

(A) Export and Import of goods

(B) Receipt of loans from abroad

(D) Current transfers from Abroad

(E) Repayment of International loans

Choose the correct answer from the options given below :

2025: 29 May Shift 1

Which of the following transactions will be recorded in the current account of Balance of Payment?

2025: 28 May Shift 1

Trade deficits occur when

2026: 21 May Shift 1

Under which of the following exchange rate systems appreciation and depreciation take place in the exchange rate?

2025: 16 May Shift 1

Which of the following is not an autonomous transaction of the balance of payments?

2022: 19 July Shift 2

Devaluation of domestic currency will make :

The transactions which are determined by the gap in the balance of payments, whether a deficit or surplus is called :

Solution

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