Unformatted text preview: within that policy area 9. Current account balances a. The current account balance summarizes a country’s current transactions with the rest of the world, which include trade, income from international investments, and transfers b. Currently we are going into debt at the rate of approx 7% of our GDP per year, and our total foreign debt is an ever increasing % of GDP c. This is accounted for by our high trade deficit, low national savings rate, and high government deficit...
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- Fall '07
- Macroeconomics, 7%, high trade deficit, high government deficit