an adverse balance of payment is always i sign of weakness in the economy.'' comment
Answers
Answered by
11
Balance of payments is of two types - favorable and adverse.
It depends on whether the exports are more or if the imports are more.
If the exports are more than imports, then the Balance of payments is said to be in a favorable state, whereas if the imports are more than exports, it is called as adverse.
If in a country, the resources like oil, and other raw materials are to be imported, it means that the country is not self-sufficient in cultivating it or producing it. That is the adverse balance of payment increases.
Therefore, it can be said that - "An adverse balance of payment is always a sign of weakness in the economy."
Answered by
5
An adverse balance of payment is always a sign of weakness in the economy comment.
Similar questions