Trade Surplus

(redirected from Favorable Trade Balances)

Trade Surplus

A nation's excess of exports over imports during a given time frame.

Trade Surplus

The difference between the value of a country's exports and the value of its imports, where the value of exports is greater. Analysts disagree on the impact, if any, of a trade surplus on the economy. Some economists believe that a trade surplus creates employment and increases GDP growth. Others believe that the balance of trade has little impact. A trade surplus is also called a favorable balance of trade. See also: Trade deficit.

trade surplus

The amount of goods and services that a country exports that is in excess of the amount of goods and services it imports. A trade surplus increases economic activity in a country but also may result in higher prices and interest rates if the economy is already operating at near capacity. Compare trade deficit.
References in periodicals archive ?
Other regions with favorable trade balances amounting to a billion pesos or more were: Central Luzon, PHP13.
China has made several public announcements and policy statements at several occasions, reiterating its intensions to take measures for reducing the current massive favorable trade balances she enjoys in trading with the South Asian countries.
Business ( Article MRec ), pagematch: 1, sectionmatch: 1 In terms of favorable trade balance, however, Eastern Visayas registered the highest positive trade balance during the third quarter at P16.