Question

The decline in U.S. manufacturing led to

a. a recession.
b. an economic boom.
c. a trade deficit.
d. import substitution.

Answer 1

When there is a decline in U.S. manufacturing, they turn to other countries for imports. When they don't have enough exports of their own, the imports end up costing more than the exports, which will result in a trade deficit.

Answer 2

The answer is A) a recession