foreign sector

foreign sector

that part of the ECONOMY concerned with transactions with overseas countries. The foreign sector includes IMPORTS and EXPORTS of goods and services as well as CAPITAL MOVEMENTS in connection with investment and banking transactions. The net balance of foreign transactions influences the level and composition of domestic economic activity and the state of the country's BALANCE OF PAYMENTS. The foreign sector, together with the PERSONAL SECTOR, CORPORATION SECTOR, FINANCIAL SECTOR, PUBLIC (GOVERNMENT) SECTOR, make up the national economy. See also CIRCULAR FLOW OF NATIONAL INCOME.
Full browser ?