Final answer:
The statement is false because Armenia had a trade deficit, not a favorable balance of trade, as its imports exceeded exports in 2018.
Step-by-step explanation:
The statement that Armenia had a favorable balance of trade in 2018 when it exported $800 million in goods and services and imported $1.5 billion is false. A favorable balance of trade, also known as a trade surplus, occurs when a country's exports exceed its imports. In the case of Armenia, the exports were $800 million and imports were $1.5 billion, leading to a trade deficit, where imports exceed exports. This situation indicates that Armenia spent more on imported goods and services than it earned from its exports.
For a clearer comparison, we can look at Germany, which experienced a substantial trade surplus because its exports greatly exceeded its imports, such as a surplus of $295 billion in 2016. Conversely, countries like the U.S. have experienced large trade deficits in recent decades where imports have significantly exceeded exports.