The main culprit behind the current account deficit is theU.S. trade deficit. In 2020, it was $679 billion.2 Causes Why would the richest country on earth need to borrow money to sustain its economy? It’s because of the trade deficit. Americans spend more on imports than U.S. busines...
A country's current account deficit is equal to the net outflow of goods, services, investment income, and transfers. A country's current account can be in balance, in deficit, or in surplus at any given time. Whether in surplus or deficit, the current account's non-zero balance must ...
Current trade deficits: It is the current account deficit of the Balance of payments account of an economy. It occurs when the volume of imports is...Become a member and unlock all Study Answers Start today. Try it now Create an account Ask a question ...
The current account of a country may be in the positive (surplus) or in the negative (deficit). If the exports are more than the imports, the current account will be in the surplus. If the country imports than it exports, the current account will be in the positive. ...
A current account is an assessment of a country's current balance of transactions. If the current account is in surplus, it means that a nation has excess funds and is investing money overseas. When in deficit, a nation is borrowing from other countries to finance its activities. This ...
1)What is the current account balance of a nation with a government budget deficit of＄128 billion, private saving of＄806 billion, and domestic capital formation of＄777 billion? 2) “A country is better off running a current account surplus rather than a current account deficit.” Do you...
The burden of a current account deficit would be the least if a nation uses what it borrows to finance:A.Unemployment compensation benefitsB.Social Security benefitsC.Expenditures on food and recreationD.Investment on plant and equipment的答案是什么.用刷
Discussion of how depreciation of the dollar could eliminate the deficit over that time is tempered with a gradual rate of adjustment. The author describes the significant changes in global trade and savings that would be triggered by the depreciation of the dollar, and recommendations are given ...
A nation's current account deficit is a broader measure. The trade deficit is almost always the largest component of the current account deficit, but the current account deficit includes other numbers, such as foreign aid and international investment. It is, in fact, possible for a na...
The current account deficit is a measurement of a country’s trade where the value of the goods and services it imports exceeds the value of the products it exports. The current account includes net income, such as interest and dividends, and transfers, such as foreign aid, although these co...