A nation's annual balance of payments statement must always balance because

A) a nation's imports are limited to the value of its exports.
B) a nation's exports and imports are always paid with dollars.
C) all international transactions must be settled in one way or another.
D) a trade deficit must be matched by an equal surplus of investment income.

Balance Of Payments

Documentation of every economic exchange between the people of a nation and international counterparts within a designated period.

International Transactions

Economic exchanges between countries, including the transfer of goods, services, capital, and payments across national borders.

Trade Deficit

A situation in which a country's imports of goods and services exceed its exports.