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Trade Deficit
(redirected from Trade deficits)

   Also found in: Dictionary/thesaurus, Legal, Encyclopedia, Wikipedia 0.03 sec.
Unfavorable Balance of Trade
The difference between the value of a country's exports and the value of its imports such that imports exceed exports. Analysts disagree on the impact, if any, of an unfavorable balance of trade on the economy. Some economists believe that an unfavorable balance of trade, especially if sustained, causes unemployment and lowers GDP growth. Others believe that the balance of trade has little impact, because the more international trade occurs, the more likely it is that foreign companies will invest in the home country, negating any negative effects. An unfavorable balance of trade is also called a trade deficit.

trade deficit
The amount of goods and services that a country imports that is in excess of the amount of goods and services it exports. Large trade deficits may result in unemployment and a reduction in economic growth in the country with the deficit. Compare trade surplus.


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REFORMS LIKELY, BUT RELUCTANTLY This dead end of trade deficits, dependence on foreign food and a growing liquidity crisis may lead to some urgent and long-delayed reforms--no matter how reluctant the regime is to enact them.
The import decline shows how the US is passing on its demand weakness to the rest of the world," Gault said, citing the sharp fall in US trade deficits with major exporters like China, Germany, and Japan over the past 12 months amid weaking US import demand.
The import decline shows how the US is passing on its demand weakness to the rest of the world," Gault said, citing the sharp fall in US trade deficits with major exporters like China, Germany, and Japan over the past 12 months amid weaking US import demand.
 
 
 
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