All else the same,a trade deficit:
A)increases GDP
B)decreases GDP
C)have no impact on GDP
D)two of the above
E)not enough information to tell

Question

Quizplus · Accepted Answer

A trade deficit means that a country is importing more goods and services than it is exporting. This means that there is a net outflow of money from the country, which decreases GDP as it reduces domestic spending and investment.

All Else the Same,a Trade Deficit