Two Problems With the Trade Deficit
An ongoing trade deficit is detrimental to the nation’s economy because it is financed with debt. The United States can buy more than it makes because it borrows from its trading partners. It's like a party where the pizza place is willing to keep sending you pizzas and putting it on your tab. This can only continue as long as the pizzeria trusts you to repay the loan. One day, the lending countries could decide to ask America to repay the debt. On that day, the party is over.
A second concern about the trade deficit is the statement it makes about the competitiveness of the U.S. economy itself. By purchasing goods overseas for a long enough period of time, U.S. companies lose the expertise and even the factories to make those products. Just try finding a pair of shoes made in the America. As the United States loses competitiveness, it outsources more jobs, and its standard of living declines.
How the US Trade Deficit Hurts the Economy
Your first point is bullshit. The national debt has nothing to do with the trade deficit. We have a trade deficit because you and I and just about every other American chooses to buy things made in other countries. Every toaster bought from China at a WalMart or every BMW bought from the dealer or ever bottle of wine from Italy. They are all being bought by the citizens and not the government.
We have a national debt because the federal government spends more money than it brings in, but it is not spending that money on buying foreign goods.
I do agree we lose expertise and factories over time, but if those jobs are replaced with similar paying jobs, then there is no change in standard of living
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That is a very nice picture, is it your front yard?
Grabbed it from goggle.
BUt similar pictures could be had from all around me. Not directly in my neighbor hood, but within a few minutes drive.
My point, I thought was obvious.
LIVING STANDARDS FOR DISPLACED WORKERS HAVE DROPPED.
For the ones that choose to stay and not get retrained in a new skill, that is true. It has been that way all through history, the guys that used to make buggies and operate switch boards had to learn a new trade or get left behind.
Your airy dismissal of the trials and suffering of your fellow Americans is noted and held against you.
The Jobs are not there. Our trade and immigration policies have destroyed them.