Net transfers are______________?

Correct answer: B. net international resource flows minus net international interest payments and profit remittances

  • A. investment loans, and grants from overseas minus international resource outflows
  • B. net international resource flows minus net international interest payments and profit remittances
  • C. international resource outflows minus international balance of payments and profit remittances
  • D. foreign direct investment inflow minus investment loans and grants from overseas

Explanation

Net transfers are net international resource inflows after subtracting interest payments and profit remittances sent abroad. This distinguishes transfers available to the domestic economy from gross capital flows.

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