标题: Question regarding Balance of Payment [打印本页] 作者: cityboy 时间: 2013-4-28 10:27 标题: Question regarding Balance of Payment
Hi guys,
My conceptual understanding on Balance of Payment (BOP) is weak and I have a hard time trying to tie the concept to real life application.
Can someone please explain how Official Reserve play into all of BOP equation? If Current Account is positive and Financial Account is 0, then Official Reserve have to be negative, does this mean Official Reserve increases by the amount current account has.
The Curriculum mentioned that Official Reserve rarely change? why is that?作者: jcfa2011 时间: 2013-4-28 10:27
Practically speaking:
current ac + capital ac + financial ac = 0 …. financial a/c includes official reserves
CFAI in their analysis assumes that:
current ac + capital ac = 0 ….. financial ac is included in capital ac
Please correct me if I am wrong
