Net exports

Export - a definition that characterizes the export of goods or services from the country. At the same time, it is assumed that the products will be sold on the international market on a commercial basis. The sum of the value of exports is set, as a rule, for the year. The determination of the price does not depend on whether the export is made under the contract or the trade agreement.

Net exports is a value indicator that expresses the algebraic difference between the import and export of services and goods. This difference is formed taking into account a certain period. Due to the fact that compensation for imbalances in the international trade of production goods is carried out at the expense of consumer goods, net exports are displayed through the latter. Thus, this term is understood as the excess of international "sales" of consumer goods over their "purchase." Most states seek to ensure that exports prevail over imports. However, not everyone succeeds.

Negative net exports are accompanied by excess of imports over exports. After in any country its money becomes a convertible currency on an international scale, their distribution will begin to take place not only as a result of the predominance of "buying" over "selling", but also because of the provision of credit to other countries directly in the currency of that country. The conversion of the national currency into a convertible currency is possible for any rich country that carries out free trade with many countries in the world and does not create unnecessary customs barriers to protect its producers. At the same time, others use the currency of wealthy states when trading with each other.

In the long run, excess imports or net exports are not possible in principle. This is due to the fact that no one will continuously sell "on loan" for a long period. As practice shows, net exports for a long period makes the creditor country from other countries. With the predominance of imports, the state forms an external debt.

If a net export emerges over a certain reporting period, some of the consumer goods are withdrawn from the domestic market. At the same time, the consumption sphere received income for this part already. Thus, the total income will be exchanged for some of the benefits that remained from sales in the domestic market. As a result, inflation is formed, the indicator of which is equal to the percentage with which net exports are correlated with the national income of the specified period.

For the production sector, the difference between "selling" and "buying" in the national currency, as well as the deficit of the state budget, is an additional income.

Net exports are formed in the context of successful competition of the state in foreign markets. At the same time, it is accompanied by a certain expansion of the market for the sale of personal and production uses. This is due to the net additional benefits.

With the primary excess of imports, an additional amount of consumer goods is poured into the domestic market. On their purchase, part of the income of the consumption sphere is spent. As a result, the remainder will be spent on the entire amount of production produced during this period. Thus, deflation is formed. Its level is the ratio of net exports to national income.

When importing production assets in the country, a large volume of consumer goods is produced, which is equivalent to importing them.

At the same time, an external debt is formed. Its content is associated with additional costs. These costs can be met only through the production of additional benefits of the sphere of consumption for export.