Question

what does it mean when a nation has a trade surplus?
a. imports are greater than exports
b. exports are greater than imports
c. imports and exports are equal
d. the nation restricts all trade

Explanation:

Trade surplus is an economic concept. It is calculated as exports minus imports. When the result is positive (exports > imports), there is a trade surplus. Option A would be a trade deficit. Option C is trade balance. Option D is autarky (no trade), not surplus.

Answer:

B. Exports are greater than imports