Net exports equals (T- G)+ ( S -I ). The difference between the value of products and services exported and imported is the amount of net exports. Net exports are determined by adding the surplus or deficit in the public and private sectors.
Net taxes less government spending on goods and services equals the government sector balance. The government sector has a deficit, or a budget deficit, if the balance for the government sector is negative. Therefore, the value of net exports decreases if the government budget deficit rises while the private sector balance, which is equal to saving minus investment, remains constant.
To learn more about net exports, click here
https://brainly.com/question/9509216
#SPJ4
