Balance of payment

Balance of payment measures the payments that flow between any individual country and all other countries. It is used to summarize all international economic transactions for that country during a specific time period, usually a year
Balance of payment surplus :money come in more than leave out
Balance of payment deficit:money come in less than money leave out.
Current account:
the current account is one of the two primary components of the balance of payments,another one is capital account. But now I would like talk about current account.
The current account is the difference between a nation's exports of goods and services and its imports of goods and services
Current account surplus:Positive net sales abroad generally contributes to a current account surplus which mean the exports greater than imports, because they sell more, a current account surplus is sell positive net exports.
Current account deficit: negative net sales abroad generally contributes to a current account deficit.which means the exports less than imports , because a current account deficit is sell negative net exports.
How to reduce the current account deficit?
Firstly we need know what current account deficit is, as above we know that current account deficit means exports less than imports, which means injection less than leakage. So the government need increase the exports.
1. Reduce the exchange rate (interest rate decrease)
2. Decrease duties
3. Increase government spending
4. Encourage domestic suppliers
Decrease imports:
1. Quota
2. import restrictions
3. Encourage people buy domestic products
4. Reduce domestic saving
Decrease aggregate demand( monetary and fiscal policy)