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Simple English definitions for legal terms
balanced economy
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A quick definition of balanced economy:
A balanced economy is when a country or community has an equal amount of money coming in from exports (things they sell to other countries) and money going out from imports (things they buy from other countries). This helps to keep the economy stable and efficient.
A more thorough explanation:
A balanced economy is an economy in which the value of imports and exports is equal. It means that a country is not relying too much on either importing or exporting goods and services.
For example, if a country imports more than it exports, it may have a trade deficit, which can lead to a weaker currency and higher inflation. On the other hand, if a country exports more than it imports, it may have a trade surplus, which can lead to a stronger currency and lower inflation.
Having a balanced economy is important because it can help a country maintain stable economic growth and avoid economic crises.