The is the difference between money flowing into a country from exports, and money leaving the country for imports, plus money flows coming from other factors such as tourism, foreign aid, military expenditures, and foreign investment.

The balance of payments is the difference between money flowing into a country from exports, and money leaving the country for imports, plus money flows coming from other factors such as tourism, foreign aid, military expenditures, and foreign investment.

Explanation:

The Balance of Payments (BOP) is the tool used by countries to track all international monetary transactions at a given time. In the Balance of Payments, it accounts for all trades administered by both the private and public sectors to determine total money goes into and out of a country.

The balance of payments (BOP) reflects the record of all international financial transactions made by a country's citizens. Such transactions compose imports and exports of goods & services, tourism, and capital, as well as transfer payments, such as foreign aid and remittances.

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