Romania has imports of $16.7 billion and has an unfavourable balance of trade. This means that Romania has which of the following?
A) less than $16.7 billion in exports
B) exactly $16.7 billion in exports
C) more than $16.7 billion in exports
D) low inflation

Question

Quizplus · Accepted Answer

An unfavorable balance of trade means that the country is importing more goods and services than it is exporting, resulting in a trade deficit. Therefore, the best choice is A, which confirms that Romania is exporting less than $16.7 billion. Option B is incorrect because it suggests that Romania's imports and exports have an exact match, which is unlikely. Option C is incorrect because an unfavorable balance of trade implies that exports are less than imports. Option D is unrelated to the question.

Romania Has Imports of $16