Question

Why is net export an expenditure of the economy?

Answer 1

Net exports are the value of a country's total exports minus the value of its total imports. It is a measure used to calculate aggregate expenditures or the gross domestic product (GDP) of a country with an open economy. In other words, net exports equal the amount by which foreign spending on a home country's goods and services exceeds the home country's spending on foreign goods and services.
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Answer 2

Net export an expenditure of the economy.

Explanation:

• The balance of trade is also called as the net exports is a gap between the monetary values of a country exports and the imports over a certain period of time and sometimes this difference is made between the balance of trade of goods versus services.

• If the country trades mostly in terms of the exports then it's said to have a positive balance of the trade and has a trade deficit if it imports more of commodities and thus has a negative balance of trade.

• The main expenditures to the GDP of the economy, households, and investments in businesses, the government spending on goods and services.

• The net exports are equal to the exports minus imports of the goods and the services thus the net exports are equal to the amount by which foreign spending on a home country goods and services more than on its home country.

Learn more about the net export an expenditure of the economy.

• brainly.in/question/2683286 answered by Jordan13.