Trade Surplus

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Trade Surplus

A nation's excess of exports over imports during a given time frame.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

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.
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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.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
In a press statement, the complex would help increase Iraq's output of liquefied natural gas to supply power stations with required gas to generate 1,500 megawatts and to export surplus to the world to boost the state revenues.
He said that by investing in Pakistan, Chinese companies could export surplus products to South Asia, Middle East, Africa and many other countries.
It was agreed that SMEs sector should be uplifted by providing access to finance that will contribute to generate export surplus and to create jobs.
The company produces several grades of quality sugar and is involved in the co-generation to export surplus electricity to the national grid.
It allows consumer to export surplus clean energy to neighbours.
Even on the growth front, plan to create an export surplus and attempt import substitution have serious flaws - namely, what can we export to fill a trade gap of around $25 billion, and how can we substitute imports with quality domestic products?
He said that by investing in Pakistan, Chinese companies would be able to meet the needs of local market and export surplus products to many countries including Middle East, Central Asia and other regions.
Currency devaluation or flexible exchange rate boosts exports from the economies with large and technologically advanced industrial base which produce substantial export surplus of value added goods.
During the visit, Mosaad El Kasaby, head of SIDPEC, explained the measures taken by the company to secure the local market's demands of polyethylene and export surplus, secure foreign currency, and support Egypt's economy.
Abdou stressed that the construction of a national network for the transfer of electricity is strong and high efficiency is one of the main components of Egypt's vision to export surplus electricity to neighbouring countries.
Mashaly asserted that building a strong and efficient national electricity network is part of Egypt's vision to export surplus to neighboring countries.
Achieving greater synergy will help the local refineries to export surplus furnace oil and earn foreign exchange for the country.