Listen to a Business English Dialogue About Trade balance
Martin: Hey Ariana, have you heard about the trade balance?
Ariana: No, Martin, I haven’t. What is it?
Martin: It’s the difference between the value of a country’s exports and imports in goods and services.
Ariana: So, if a country exports more than it imports, it has a trade surplus?
Martin: Exactly. And if it imports more than it exports, it has a trade deficit.
Ariana: That makes sense. How does the trade balance affect a country’s economy?
Martin: Well, a trade surplus can indicate a strong economy, while a deficit might suggest economic imbalance or reliance on foreign goods.
Ariana: I see. So, maintaining a balanced trade is important for economic stability?
Martin: Yes, exactly. It’s crucial for sustainable growth and ensuring a country’s long-term prosperity.
Ariana: Thanks for explaining, Martin. It’s interesting how trade balances play a role in global economics.
Martin: No problem, Ariana. Understanding trade balances can help us make sense of economic trends and policies.