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A persistent trade imbalance can cause a chain reaction that affects income and employment.

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11y ago

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Effect of persistent deficit in balance of payments?

A persistent deficit in the balance of payments leads to an individual not paying their way. Society as a whole can get into a deficit when many people are defaulting on payments.


What is trade deficite?

trade deficit occurs when? trade deficit occurs when?


Does US have a deficit or trade surplus?

Trade deficit


Is India a trade deficit or trade surplus?

deficit


Did the US have a trade surplus or deficit?

The USA has a trade deficit.


Does the UK have a trade surplus or trade deficit?

It has a surplus in trade of invisibles, and a deficit in trade of visibles.


What is one cause of the you US trade deflect?

One significant cause of the U.S. trade deficit is the imbalance between domestic consumption and production capabilities. Americans tend to consume more goods than can be produced domestically, leading to increased imports, particularly from countries with lower production costs. This reliance on foreign goods, combined with a strong U.S. dollar that makes imports cheaper, contributes to the persistent trade deficit. Additionally, structural factors such as globalization and shifts in manufacturing have further exacerbated this imbalance.


Does Italy have a trade deficit or a trade surplus?

Germany currently has a trade surplus. COOL HUH !


What is visible trade deficit?

visible trade deficit occurs when import expenditure exceeds the export revenue.


What happens when the level of imports is greater than the level of exports?

A trade deficit


Does Egypt have a trade surplus or trade deficit?

their trade surplus


What is the difference among fiscal deficit budget deficit revenue deficit and trade deficit?

fiscal deficit: not enough money budget deficit: not as much money as you had planned to have in your budget revenue deficit: not enough money coming in trade deficit: you are spending more money on imports than the amount of money which you receive for your exports.