The concentration of wealth in an economy contributes to trade imbalances. Support this statement by making logical connections between the two phenomena.

Concentration of Wealth

The situation where a small group of people or entities hold a large portion of total wealth in a society.

Trade Imbalances

Trade imbalances occur when there is a significant difference between a country's exports and imports, indicating an excess of imports over exports (trade deficit) or the opposite (trade surplus).