asked 234k views
5 votes
If the economy booms in the United States while going into recession in other countries, the U.S. trade deficit will tend to _________________.

asked
User Xirdus
by
9.0k points

1 Answer

1 vote

Answer:

Increase

Step-by-step explanation:

During the trade, if partner countries not able to purchase the US export product due to recession, thus the US spends more amount of money on imports than export. This unfavorable variation in the trade leads to an increase in the trade deficit.

If this trade deficit sustains for a longer period of time then it may weaken the strength of industries and may affect job growth.

answered
User Dat Tran
by
8.1k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.