Statement I: We pay for a large part of our trade deficit with U.S.dollars.
Statement II: The United States is much more dependent on foreign trade than it was 30 years ago.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.

Question

Quizplus · Accepted Answer

Statement I is true because the U.S. does pay for its trade deficit by transferring U.S. dollars to other countries, which is a common practice in international trade. Statement II is also true as the United States has become increasingly integrated into the global economy over the past 30 years, making it more dependent on foreign trade for both imports and exports.

Statement I: We Pay for a Large Part of Our