distinguish between autonomous and accommodating items
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Autonomous transaction Accommodating transaction Autonomous transaction refer
to those international economic transactions that ate undertaken with the
sole motive of earning profit. Accommodating transactionefer
to those international economic transactions that are to correct the disequilibrium in the autonomus item. They are also called 'above the line items' in BOP They are also called' below the
line items in BOP. They are independent of the BOP status of a country. They depend on the BOP status of a
country, as they are compensating short-term capital
transactions that are undertaken to correct the disequilibrium in the autonomous items.
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