Macroeconomics (Fourth Edition)
Macroeconomics (Fourth Edition)
4th Edition
ISBN: 9780393603767
Author: Charles I. Jones
Publisher: W. W. Norton & Company
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Chapter 19, Problem 5RQ
To determine

Explain Country U’s trade deficit and net foreign debt as a serious economic problem.

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Students have asked these similar questions
Under what conditions will a larger budget deficit cause a trade deficit?
Why does a recession cause a trade deficit to increase?
Over the past four years, the US trade deficit has increased to $576.9 billion. Based on your understanding of what it means to have a trade deficit, is this number too large? Why or why not? What are the implications for the short-term and long-term US economy?
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