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BALANCE OF TRADE — Commerce Keypoint

BALANCE OF TRADE

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BALANCE OF TRADE: This is the relationship between the total value of visible exports and that of visible imports.

Note: If the value of visible exports is greater than that of Imports, the balance of trade is said to be favourable. Conversely, if the value of visible imports is greater than that of visible exports, then the balance of trade is said to be unfavourable. This situation can be upset by a surplus in invisible items.

But if the value of visible imports is equal to that of visible exports then there is a balance of trade.

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  4. CAUSES OF UNFAVOURABLE BALANCE OF PAYMENT
  5. WAYS OF CORRECTING DEFICIT/UNFAVOURABLE BALANCE OF PAYMENTS
  6. BARRIERS TO INTERNATIONAL TRADE
  7. UNFAVOURABLE TERMS OF TRADE

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