If the United States has a trade deficit with the rest of the world,then the rest of the world must have a trade deficit also.

Question

Quizplus · Accepted Answer

This statement is false. A trade deficit for one country means that it is importing more goods and services than it is exporting, while a trade surplus means that it is exporting more than it is importing. Therefore, it is possible for one country to have a trade deficit while another country has a trade surplus. In fact, this is common in international trade as countries specialize in different goods and services and trade with each other for mutual benefit.

If the United States Has a Trade Deficit with the Rest