Am finally understanding the difference between BOT and BOP
Thank you

<p>Balance of Trade is the difference in value over a period of time between a country’s imports and exports of goods and services, usually expressed in the unit of currency of a particular country or economic union (e.g. dollars for the United States, pounds sterling for the United Kingdom, or euros for the European Union). It can be said to be the value of a country’s exports minus its imports.</p>
<p>When a country’s exports are greater than its imports, it has a trade surplus. Most nations view that as a favourable trade balance. When exports are less than imports, it creates a trade deficit. Countries usually regard that as an unfavourable trade balance. But sometimes, a favourable trade balance or surplus is not in the country’s best interests. For example, an emerging market should import to invest in its infrastructure. It can run a deficit for a short period with this goal in mind.</p>

3174eb1e-1f1a-441e-ab1c-3ea3bb79e46a

Balance of Trade (BOT)

Economics studies social behavior guiding the allocation of scarce resources to meet the unlimited needs and desires of the individual members of a given society, and for the production of goods and services, growth of production and welfare over time, and a great variety of other complex issues of vital concern to society. 

Economics

Explore the principles and concepts underlying global commerce, including theories of comparative and absolute advantage, balance of trade, balance of payments, exchange rates, and more.


Balance of Trade (BOT)

Track Your Learning Progress

Earlier discussion