Question

An Adverse balance of payment is always a sign of weakness in the economy.

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Answer 1

Answer:

Is an adverse balance of payment always a sign of weakness in the economy? Adverse balance of payment (BOP) means that imports exceeds exports for a country or economy. The adverse BOP doesn't always means weakness, because it dependent on many factors.

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Answer 2

An Adverse balance of payment is always a sign of weakness in the economy:

An adverse balance of payment is always a sign of weakness because when a country is involved in this kind of adverse balance impact, then the rate of the imports of the country will be either less or greater than the exports of the company.

Every country involves in the economic trade and it is essential that a balance in the business is required so that the country will not suffer from the economic crisis.

TO KNOW MORE:

What is economic crisis?

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