If the Land of Mercury had total exports of $150 billion and total imports of $234 billion,it had a
A) comparative advantage.
B) trade deficit.
C) balance of payments.
D) negative output.
E) positive balance of trade.

Question

Quizplus · Accepted Answer

A country has a trade deficit when its total imports are greater than its total exports, as is the case with the Land of Mercury. This means that the country is buying more goods and services from foreign countries than it is selling to them, resulting in a negative balance of trade.

If the Land of Mercury Had Total Exports of $150