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Q: What happens to output when net exports are negative?
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Net exports are negative?

positive net exports increase equilibrium GDP while negative net exports decrease it.


When net exports are negative what is best?

when the imports exceeds the imports then net exports are negative and positive is best for country.


How is net exports and net capital outflow related?

Net exports is the total exports minus the total imports. If this is positive then, there is net capital inflow. If this is negative, it means there is net capital outflow.


What does it mean if net exports are negative?

Net Exports (X-I) equal Exports (X) minus Imports (I). If Net Exports are negative ( X - I < 0 ) it implies that Imports must be larger than Exports. The country is importing more than it is exporting. This is also known as a Trade Deficit or a Commercial Deficit.


Are US Net Exports are often negative because the US typically imports more than it exports?

true


What are the four major uses of total output?

consumption, investment, government purchases, and net exports


Is net export the same as balance of trade?

Yes. The balance of trade (or net exports, sometimes symbolized as NX) is the difference between the monetary value of exports and imports of output in an economy over a certain period.


What is the formula for net exports?

net exports=X-I where:X=exports I=imports


Balance of trade in a sentence?

The balance of trade (or net) is the difference between monetary value of exports and imports of output in an economy.


What is the balance of trade?

The balance of trade (or net exports, sometimes symbolized as NX) is the difference between the monetary value of exports and imports of output in an economy over a certain period. It is the relationship between a nation's imports and exports.


What is the GDP flow of product Approach?

the GDP flow of product approach is calculated by summing up consumption and investments and government and net exports.=GDP= C+ I+ G+ Net exports==where net exports = exports - imports=the GDP flow of product approach is calculated by summing up consumption and investments and government and net exports.=GDP= C+ I+ G+ Net exports==where net exports = exports - imports=


What is the term used by economist to describe where a nation exports more than it imports?

The country's net exports are positive(net exports being exports minus imports)