Wichasha, an African country, exports barley and cotton worth $100 million to Illema, a European country, and it imports sugarcane worth $25 million from Illema. As such, the total value of Wichasha's exports is higher than the total value of its imports. This difference between the value of Wichasha's exports and imports is known as _____.

Question

Quizplus · Accepted Answer

The balance of trade refers to the difference in value between a country's exports and imports. In this case, Wichasha's exports exceed its imports, indicating a positive balance of trade.

Wichasha, an African Country, Exports Barley and Cotton Worth $100