Option A i.e. net exports are zero, when a economy does not engage in international trade.
A nation with a closed economy is one that doesn't engage in international trade and produces all of its own commodities and services. Today, closed economies are essentially nonexistent, while some nations are closer to having one than others.
Brazil is the most closed economy in the world, and it imports the least quantity of goods in the world when compared to its GDP. Brazilian businesses must contend with a number of competitive obstacles, such as favourable exchange rates and protective trade regulations.
All demands are satisfied by the domestic economy using domestic resources. Stay away from global economic shocks and currency rate dangers. International trade and capital flows helped the financial crisis or recession spread. A closed economy is therefore immune to these threats because neither one exists.
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