Which of the following is used to help maintain a more favorable balance of trade by a country?
A) Limiting imports
B) Limiting exports
C) Establishing exchange controls
D) Increasing gross domestic product
E) Changing political systems

Question

Quizplus · Accepted Answer

Limiting imports helps reduce the amount of money leaving the country and therefore can help maintain a more favorable balance of trade. Limiting exports, on the other hand, would result in decreased income for the country. Establishing exchange controls can also help limit imports and maintain a favorable balance of trade, but this is not always a viable option as it can limit international trade and investment opportunities. Increasing gross domestic product can indirectly help maintain a favorable balance of trade, but it is not a direct solution for addressing trade imbalances. Changing political systems may have an impact on trade, but it is not a specific measure for maintaining a more favorable balance of trade.

Which of the Following Is Used to Help Maintain a More