Edzy
Single Answer MCQ
Q-00044460

What happens when exports exceed imports?

1

Deficit balance of trade

2

Favorable balance of trade

3

Unfavorable balance of trade

4

Equilibrium balance of trade

Reviewed & Verified by Edzy Expert

Sandeep Chaturvedi

Sandeep Chaturvedi

CBSE Social Science & Humanities Reviewer

Social science and humanities educator with 14+ years of experience reviewing CBSE SST, economics, commerce, arts, and vocational content.

M.A. HistoryM.A. Political ScienceB.Ed.

Answer and Solution

Answer

B. Favorable balance of trade

Solution:

When exports exceed imports, it results in a favorable balance of trade, indicating a country earns more from its international trade than it spends.

Watch Video Solution

Keep Practising

Students who asked this also explored

Continue with nearby questions to strengthen the same chapter concept while you still have the context fresh in mind.

Q1

Which mode of transport is essential for international trade?

Single Answer MCQ
View explanation
Q2

What is the primary purpose of international trade?

Single Answer MCQ
View explanation
Q3

Which of the following is considered an export from India?

Single Answer MCQ
View explanation
Q4

Which term refers to the excess of imports over exports?

Single Answer MCQ
View explanation