Which of the following is correct? A. U.S. exports as a percentage of GDP have i

Question

Which of the following is correct?

A.  U.S. exports as a percentage of GDP have increased, but have not nearly doubled over the last 50 years. The U.S. currently has a trade surplus

B.  U.S. exports as a percentage of GDP have about doubled over the last 50 years. The U.S. currently has a trade surplus.

C.  U.S. exports as a percentage of GDP have increased, but have not nearly doubled over the last 50 years. The U.S. currently has a trade deficit.

D.  U.S. exports as a percentage of GDP have about doubled over the last 50 years. The U.S. currently has a trade deficit.

Explanation / Answer

D.  U.S. exports as a percentage of GDP have about doubled over the last 50 years. The U.S. currently has a trade deficit.

The casues are:

The shifting of some of the manufacturing factilies from US to other low cost Asian countries, due to which US has started import from those countries instead producing at home.

The US people do not save much, but the economy needs capital for investment puroses due to which US has been net importer of capital flows. This net import of capital flows makes it to pay for the imports of products and services from other countries.

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.