Which of the following is the best description of the balance of trade?
A) The total of a nation's revenues from income taxes minus its expenditures on goods and services
B) Changes in currency values and price changes
C) The profitability of business firms that are exporting goods and services
D) The total of a nation's exports minus its imports
E) The total value of all services provided to foreigners during a one year time period

Question

Quizplus · Accepted Answer

The balance of trade is the difference between a country's exports and imports of goods and services. It is calculated as the total value of a country's exports minus the total value of its imports. Option D is the only option that accurately describes this balance.

Which of the Following Is the Best Description of the Balance