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27. If the value of a country's exports is greater than the value of its imports,it...


27. If the value of a countrys exports is greater than the value of its imports,it is: A) B) C) D) running a trade surplus. running a trade deficit. in an economic contraction. likely to find its investment spending greater than its level of saving
27. If the value of a country's exports is greater than the value of its imports,it is: A) B) C) D) running a trade surplus. running a trade deficit. in an economic contraction. likely to find its investment spending greater than its level of saving
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Answer #1

If the value of a country's exports is greater than the value of of its imports, it is :

a) Trade surplus.

Trade surplus occurs when export exceeds the import of the country, it is positive as well as favourable balance of trade.

When the imports exceeds the value of the exports, we have trade deficit and that is a negative as well as unfavourable balance of trade.

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