Principles of Macroeconomics / Unit 3 MAC 0206 short lesson, about 20 seconds
Net Exports
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The idea
Net exports are exports minus imports, also called the trade balance. Exports exceeding imports is a surplus; imports exceeding exports is a deficit.
In practice
The United States has run deficits in most years since the early nineteen eighties.
Where people slip
A deficit subtracts from GDP by construction, which is not the same as saying it makes a country poorer.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
Builds on
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