Q. Distinguish between autonomous and accommodating items in the balance of payments. (Solved)
1. all transactions in the current and capital account are called automatic transactions. accommodating items are transactions that come under the official reserve account.
2. transactions are said to be autonomous if their value is determined independently of the balance of payments. accommodating items are determined by the net consequences of the autonomous items.
3. they take place for business or private motive. accommodating items are required to balance international transactions.
4. all the above
- d. all the above