Trade Balance (Noun)
Meaning
The difference in value over a period of time of a country's imports and exports of merchandise; "a nation's balance of trade is favorable when its exports exceed its imports".
Classification
Nouns denoting possession and transfer of possession.
Examples
- The country's trade balance has been in deficit for several years due to a surge in imports of electronic goods.
- A favorable trade balance is often seen as a sign of a strong and competitive economy.
- The government's efforts to promote exports have helped to improve the country's trade balance in recent months.
- A large trade balance deficit can lead to a decline in a country's foreign exchange reserves.
- The trade balance is an important indicator of a country's economic health and is closely watched by policymakers and investors.