Question

Which of the following statements is/are incorrect?

        I.            NRI deposits in India are counted as a part of the current account.

      II.            If a country suffers from a fiscal deficit as well as capital account deficit then it is term as Twin Deficit.

A Only I Correct Answer Incorrect Answer
B Only II Correct Answer Incorrect Answer
C Both Correct Answer Incorrect Answer
D None of the above Correct Answer Incorrect Answer

Solution

NRI deposits in India are counted as a part of the Capital account. If a country suffers from a fiscal deficit as well as a Current account deficit then it is termed as Twin Deficit .

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