When determining gross domestic product, how are net exports defined?

Show Answers

The combined total of merchandise trade and servicesThe current account balance added to long-term capital flowsThe difference between the value of exported and imported goodsThe sum of short-term capital movements and the basic balance

Explanation

Net exports represent the total of merchandise trade plus services, which is used in calculating gross domestic product. Other options refer to different economic measures that are not directly related to net exports.