The type of good with the largest trade deficit in the U.S.is:
A)capital goods.
B)consumption goods.
C)industrial goods.
D)None of these statements is true.

Question

Quizplus · Accepted Answer

The U.S. has a large trade deficit in consumption goods, which are goods that are directly consumed by households such as clothing, electronics, and toys. The U.S. imports a large amount of these goods from countries such as China, which contributes to the trade deficit. Capital goods are goods used to produce other goods, and industrial goods are goods used in manufacturing, both of which have a smaller trade deficit compared to consumption goods.

The Type of Good with the Largest Trade Deficit in the U.S.is