Balance Of Trade Definition

Definition: It refers to a record of a country’s exports and imports of goods and services. Also it can be called as “Net Exports” .If the monetary value of country’s exports is greater than country’s imports, it can be said that the country has a trade surplus. If the monetary value of country’s exports is lower than country’s imports, it can be said that the country has a trade deficit. The balance of trade is sometimes divided into a goods and a services balance.