When the trade balance is zero,

Question

Quizplus · Accepted Answer

When the trade balance is zero, it means that the economy is importing exactly as much as it exports. This could also be interpreted as the value of exports is equal to the value of imports. It does not necessarily mean that no foreign countries wish to purchase your exports or that your country is exporting more than it is importing. It also does not address whether countries that owe you money for your exports still need to pay up.

When the Trade Balance Is Zero