One problem that may result when a nation imports more than it exports is _____.

One problem that may occur when a nation imports more than it exports is that the country might have trouble securing foreign currency reserves necessary to buy vital resources such as oil. By exporting goods countries obtain and maintain levels of currency reserves which allow them to purchase goods and services in the international market. Without these currency reserves transactions are more difficult.

Answered by Gibbs | 2024-06-10

the nation will be in debt because they are buying more then they are selling and therefore they need to borrow money and then when they don't get the money back by selling things they become in debt

Answered by Katieschlich | 2024-06-10

A nation importing more than it exports can face significant problems such as trade deficits, currency devaluation, and increased foreign debt. These issues can lead to reduced economic growth and job losses, ultimately affecting the nation's economic stability. Persistently high imports can indicate a reliance on foreign markets, hindering domestic economic development.
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Answered by Gibbs | 2024-12-26