A country's trade balance indicates a mismatch between a country's current production and its current consumption.

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A country's trade balance, which is the difference between its exports and imports, reflects a mismatch between what a country produces (supply) and what it consumes (demand). A trade surplus indicates that a country is producing more than it consumes domestically, while a trade deficit indicates that a country is consuming more than it produces.

A Country's Trade Balance Indicates a Mismatch Between a Country's