Question

The nation of redland reported that its imports for the previous year were $4 billion greater than its exports. during the same period, redland reported a favorable balance of payments. this information suggests:

Answer 1

The answer is "money inflows from tourism, foreign aid, foreign investment and other sources more than offset Redland's trade deficit".
The balance of payments refers to the difference that is between money flows into and out of a country from all sources (it does not include just exports and imports). Inflows from different sources, (for example, tourism or outside venture) can now and then counterbalance an adjust of exchange deficiency and result in a positive adjust of installments.