Question

An economist tracking a country’s imports and exports finds that one year, the country’s imports total an equivalent of $64,821,824, and its exports total an equivalent of $54,058,726. What is this country’s balance of trade for that year?
a.
trade deficit of $10,763,098
b.
trade deficit of $118,880,550
c.
trade surplus of $10,763,098
d.
trade surplus of $118,880,550

Answer 1

Balance of trade = exports − imports = $54,058,726 − $64,821,824 = −$10,763,098, so a trade deficit of $10,763,098.

Answer: a.