the amount of goods and services that a country exports, minus the goods and services that it imports *in a
calendar year*. In 1999 Japan exported much more than it imported, so it had a
trade surplus. The same year, the United States imported more than it exported, and therefore had a large
trade deficit.
The trade balance is negative if a country runs a trade deficit, and positive if it runs a trade surplus.
The trade balance is an extremely important indicator of economic health for most countries. Typically (
not not always) the value of the currency is strongly influenced by
the trade balance also.
