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Balance of Payments:

 

Balance of Trade and Balance of Payments:

 

Here, we would like to make a sharp distinction between balance of international trade and balance of international payments as they are often confused by the readers. Continue reading.

 

Presentation of International Balance of Payments:

 

The total balance of international payments is customarily divided into three sections: Continue reading.

 

Equilibrium of Balance of Payments:

 

"The equilibrium of balance of international payment is a statement that takes into account the debits and credits of a country on international account during a calendar year". Continue reading.

 

Methods of Correcting Disequilibrium in Balance of Payments:

 

We have stated earlier that a country must obtain equilibrium in her balance of payments with other countries in the long run. When the balance of payments is favorable, it can be looked at with satisfaction from her point of view because the surplus will be invested abroad in securities. Continue reading.

 

 

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