What happens to output when net exports are negative?

When net exports are negative, it indicates that a country is importing more goods and services than it is exporting. This situation can lead to a decrease in overall output, as domestic production may decline due to reduced demand for local goods. Additionally, a sustained negative net export can result in a trade deficit, potentially impacting economic growth and leading to greater reliance on foreign goods. In the long term, this could weaken the domestic economy if not balanced by other factors like increased investment or consumer spending.