A country is exhibiting persistent trade surpluses (exports > imports). At the same time,
the economy´s interest income received from abroad exceeds the interest paid to the
rest of the world. How is the country´s net financial investment position evolving?
The trade surplus can help the country's economy to thrive by creating jobs, but it can also lead to increased prices and interest rates. The value of a country's currency in global markets can be influenced by its trade balance, as it allows a country to control the bulk of its currency through commerce.
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