Figure 19.4: UK Budget Deficit (percent of GDP): 1980-2015
-Consider Figure 19.4, which shows the U.K. government budget deficit, as a percent of GDP, from 1980-2014. Use the twin deficits to hypothesize the United Kingdom's trade deficit. Assume that private savings is equal to zero.

Question

Figure 19.4: UK Budget Deficit (percent of GDP): 1980-2015 
-Consider Figure 19.4, which shows the U.K. government budget deficit, as a percent of GDP, from 1980-2014. Use the twin deficits to hypothesize the United Kingdom's trade deficit. Assume that private savings is equal to zero.

Quizplus · Accepted Answer

The Answer of Figure 19.4: UK Budget Deficit (percent of GDP): 1980-2015 
-Consider Figure 19.4, which shows the U.K. government budget deficit, as a percent of GDP, from 1980-2014. Use the twin deficits to hypothesize the United Kingdom's trade deficit. Assume that private savings is equal to zero.

Figure 194: UK Budget Deficit (Percent of GDP): 1980-2015