Question

If exports and imports are imbalanced, then ________ exists.

1) a trade surplus
2) a trade deficit
3) trade is balanced
4) the economy is unhealthy

Answer 1

If exports and imports are imbalanced, then a trade deficit exists.

Step-by-step explanation:

The correct answer is a trade deficit. When exports and imports are imbalanced, and imports exceed exports, it means that the country has a trade deficit. This occurs when a nation's dollar value of imports is greater than its dollar value of exports. A trade deficit can have various effects on the economy and can be influenced by factors such as exchange rates and government policies.