If a nation is running a trade deficit, it is

Question

Quizplus · Accepted Answer

A trade deficit occurs when a country imports more goods and services than it exports, meaning it is spending more money on imports than it is receiving from exports. This can lead to a decrease in the value of the country's currency and can have negative effects on the economy, but it does not necessarily mean the country is spending too much on public services or experiencing a balance of payments disequilibrium.

If a Nation Is Running a Trade Deficit, It Is