The United States was willing to tolerate significant trade deficits with which of the following countries during the Cold War, due to the strategic importance of this (these) country(ies)?

Question

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During the Cold War, the United States was willing to tolerate significant trade deficits with Japan and Korea due to the strategic importance of these countries. In the case of Korea, the United States wanted to support its economy as a counterbalance to communist North Korea. In the case of Japan, the United States viewed its economic development as a key component of its security strategy in Asia. Taiwan was also an important U.S. ally during the Cold War, but it was not a significant trading partner at the time.

The United States Was Willing to Tolerate Significant Trade Deficits