The current account deficit represents the extent to which a nation's:

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The current account measures the balance of a nation's trade in goods and services with the rest of the world, and also includes net income from abroad and net transfer payments. Therefore, if a nation's spending on imports exceeds its income from exports, it will result in a current account deficit, indicating that the nation's spending is exceeding its income.

The Current Account Deficit Represents the Extent to Which a Nation's