Last year, the nation of Kwansai reported that it had a favorable balance of trade even though it imported $11 billion worth of goods. This indicates that Kwansai:
A) exported $11 billion worth of goods.
B) exported more than $11 billion worth of goods.
C) overpriced the value of its exports.
D) exported less than $11 billion worth of goods.

Question

Quizplus · Accepted Answer

A favorable balance of trade means that the value of exports exceeds the value of imports. Kwansai imported $11 billion worth of goods, but still had a favorable balance of trade, which means that it exported more than $11 billion worth of goods.

Last Year, the Nation of Kwansai Reported That It Had