In one or two sentences, explain if a country would rather have a trade surplus or a trade deficit. Then, in two or three sentences, explain the difference between balance of trade and balance of payments.

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1 July, 16:30

In one or two sentences, explain if a country would rather have a trade surplus or a trade deficit. Then, in two or three sentences, explain the difference between balance of trade and balance of payments.

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Kaitlin Bullock · Answer 1

Well I can imagine a Country would rather have a trade Surplus in which their exports (The countries items) cost more than what their imports do (Imports are the foreign stuff they buy) which would mean they would would sell for more than what they buy gaining profit.

Balance of trade means the difference in between price of a Countries Imports and Exports, versus Balance of trade means the tracking of all trade going on between Citizens and foreigners, for example, an American made Camaro being shipped over to Asia.