how-do-net-exports-impact-the-current-account-balance-and-what-does-a-negative-n

Question

How do net exports impact the current account balance, and what does a negative net export value indicate?

Accepted Answer

Net exports contribute to the current account balance; a negative value indicates a trade deficit.

Answer

Net exports contribute to the capital account balance; a negative value indicates a trade deficit.

Answer

Net exports contribute to the financial account balance; a negative value indicates a trade surplus.

Answer

Net exports do not affect the current account balance; a negative value indicates a trade surplus.