Answer
If a country imports more than they export, then they might be borrowing money to consume those imports.
Work Step by Step
The money that is borrowed is likely against the goods and services of that country.
Principles of Economics, 7th Edition
by Mankiw, N. Gregory
Published by
South-Western College
ISBN 10:
128516587X
ISBN 13:
978-1-28516-587-5
Chapter 25 - Part IX - Production and Growth - Problems and Applications - Page 546: 1
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