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Trade Balance

Trade balance is an economic indicator that looks at the changing balance, on a month by month basis, of the goods and services imported and exported by an economy. A negative trade balance indicates that the country in question is running a trade deficit, meaning that it is importing more than it is exporting. A positive trade balance indicates that the economy in question is running a trade surplus, meaning that it is exporting more than it is importing. The reduction of a deficit or the extension of a surplus is considered positive for an economy.


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