Which of the following is true when a country is experiencing a trade surplus (NX 0)?

Question

Which of the following is true when a country is experiencing a trade surplus (NX > 0)?

Quizplus · Accepted Answer

When a country is experiencing a trade surplus, it means that the value of its exports (domestic goods sold to foreign countries) is greater than the value of its imports (foreign goods bought by domestic consumers). This indicates that there is a greater demand for domestic goods from foreign buyers than there is from domestic consumers. Therefore, choice B is the correct option.

Which of the Following Is True When a Country Is