If the economy booms in the United States while going into recession in other countries, the U.S. trade deficit will tend to ___

Question

SOVA2 [1]

3 years ago

11

If the economy booms in the United States while going into recession in other countries, the U.S. trade deficit will tend to ___

______________.

Social Studies

1 answer:

jonny [76] · Answer 1 · 2021-12-04T03:06:00+03:00

Answer:

Increase

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.