Meaning of Trade Balance

Meaning of Trade Balance

Acronyms, Business
Before entering fully into the meaning of the term trade balance, we are going to thoroughly analyze its etymological origin. In this case, we can say that it is made up of two words derived from Latin: -Balance comes from the Latin word “bilanx”, which can be translated as “two-plate scale”. It is the result of the sum of the prefix “bi-”, which means “two”, and the noun “lanx”, which is synonymous with dish. -Commercial, on the other hand, comes from “commercialis” which is equivalent to “related to buying and selling”. It is formed from the sum of three clearly delimited components: the prefix “with”, which means “completely”; the noun “merx”, which can be translated as “merchandise”; and the suffix “-al”, which is equivalent to “relative to”. The first meaning…
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Meaning of Balance of Payments

Meaning of Balance of Payments

Acronyms, Business
The term balance has several uses, as can be seen when consulting the dictionary of the DigoPaul. This time we are interested in its meaning in the field of economics: it is known as the balance to the result or the analysis of a comparison established between different variables. A payment, on the other hand, is the disbursement of money or another type of value with the aim of canceling a debt or to make a purchase. This act and the result of it are known as payment. From these ideas, we can understand what the notion of balance of payments refers to. It is the record that compares the monetary disbursements and the foreign charges of the economy of a country. In addition to all the above, we can…
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