export-import ratio

The export-import ratio is a measure used to understand a country’s trade balance. It compares the value of a country's exports (goods sold to other countries) to its imports (goods bought from other countries). A ratio greater than one indicates that a country exports more than it imports, suggesting a trade surplus, while a ratio less than one indicates a trade deficit, meaning it imports more than it exports. This ratio helps assess the economic health and competitiveness of a country in international trade.