Question

______ refers to the situation of excess imports of goods over exports of goods.

Options

• Balance of Payment Deficit

• Fiscal Deficit 

• Balance of Trade Deficit

• All of these

Answer 1

Balance of Trade Deficit refers to the situation of excess imports of goods over exports of goods.

Explanation:

Balance of trade refers to the difference between goods exported and imported, i.e. only the visible items of economic transactions. A Balance of Trade deficit indicates that a country's exports of goods are worth less than its imports of goods.