How to find balance of trade , invisible trade balance and balance or current account ?

To find the balance of trade, invisible trade balance, and balance of current account, you can follow these steps:

1. Balance of Trade: The balance of trade is the difference between a country's exports and imports of goods. To calculate the balance of trade, you can use the following formula:

Balance of Trade = Total Value of Exports - Total Value of Imports

You can find the total value of exports and imports in a country's trade balance sheet or by looking at official trade statistics.

2. Invisible Trade Balance: Invisible trade refers to trade in services, such as tourism, banking, insurance, and other services that do not involve physical goods. To calculate the invisible trade balance, you can use the following formula:

Invisible Trade Balance = Total Value of Exports of Services - Total Value of Imports of Services

You can find the total value of exports and imports of services in a country's balance of payments statement or by looking at official trade statistics.

3. Balance of Current Account: The balance of current account is the sum of the balance of trade and the balance of invisible trade. To calculate the balance of current account, you can use the following formula:

Balance of Current Account = Balance of Trade + Invisible Trade Balance

You can find the balance of current account in a country's balance of payments statement or by looking at official trade statistics.

By following these steps, you can find the balance of trade, invisible trade balance, and balance of current account for a country.

Balance of Trade (BOT)

- Subtract the value of imports from the value of exports.
- BOT = Exports - Imports
- A positive BOT (Export surplus) indicates more goods are exported than imported.
- A negative BOT (Import surplus) indicates more goods are imported than exported.

Invisible Trade Balance (ITB)

- Calculate the net value of all non-goods exchange (e.g., services, remittances, foreign aid).
- ITB = Service exports + Remittances + Foreign aid - Service imports
- A positive ITB indicates more invisibles are exported than imported.
- A negative ITB indicates more invisibles are imported than exported.

Balance of Current Account (BCA)

- Sum up the balance of trade and the invisible trade balance.
- BCA = BOT + ITB
- A positive BCA indicates a country is receiving more money from other countries than it is paying out.
- A negative BCA indicates a country is paying out more money to other countries than it is receiving.