Question and answer
explain if a country would rather have a trade surplus or a trade deficit.
When a nation has a trade surplus, it has control over the majority of its own currency. This causes a reduction of risk for another nation selling this currency, which causes a drop in its value. [ When the currency loses value, it makes it more expensive to purchase imports, causing an even a greater imbalance. Because a trade surplus usually creates a situation where the surplus only grows
(due to the rise in the value of the nations currency making imports cheaper), there are many arguments against Milton Friedman's belief that trade imbalances will correct themselves naturally. Economic theory dictates that a trade deficit is not necessarily a bad situation because it often corrects itself over time. However, a deficit has been reported and growing in the United States for the past few decades, which has some economists worried. This means that large amounts of the U.S. dollar are being held by foreign nations, which may decide to sell at any time. A large increase in dollar sales can drive the value of the currency down, making it more costly to purchase imports. ]
Expert answered|hanzyboy|Points 3898|
Question
Asked 8/24/2011 2:14:03 AM
0 Answers/Comments
Ask a question
Not a good answer? Get an answer now. (FREE)
New answers
Rating

There are no new answers.

Comments

There are no comments.

Add an answer or comment
Log in or sign up first.
Questions asked by the same visitor
A market _____. exists whenever buyers and sellers exchange goods and services does not involve monetary transactions to buy goods and services only includes squares set up in towns to sell goods and services
Weegy: barter User: The interaction between buyers and sellers in the marketplace leads to goods and services being distributed by _____. market share price force (More)
Question
All Categories|No Subcategories|Expert Answered
Asked 8/17/2011 4:58:47 PM
0 Answers/Comments
The interaction between buyers and sellers in the marketplace leads to goods and services being distributed by _____. market share price force
Weegy: Do you have options for this? Like multiple choice? (More)
Question
All Categories|No Subcategories|Expert Answered
Asked 8/17/2011 5:01:18 PM
0 Answers/Comments
A consumer uses goods and services to _____. make products using fair trade earn money by selling them satisfy economic wants
Weegy: Hold on while I pass this to another expert (More)
Question
All Categories|No Subcategories|Expert Answered
Updated 8/17/2011 7:26:12 PM
1 Answer/Comment
A consumer uses goods and services to satisfy economic wants.
Added 8/17/2011 7:26:12 PM
Consumers influence how goods and services are made by _____. selling organic products, such as fruits choosing which goods and services to buy producing goods made from recycled materials
Weegy: choosing which goods and services to buy (More)
Question
All Categories|No Subcategories|Expert Answered
Asked 8/17/2011 5:39:18 PM
0 Answers/Comments
A consumer uses goods and services to _____. make products using fair trade earn money by selling them satisfy economic wants
Weegy: develop (More)
Question
All Categories|No Subcategories|Expert Answered
Asked 8/17/2011 5:41:25 PM
0 Answers/Comments
Home | Contact | Terms | Privacy | Social | ©2013 Purple Inc.
Ad
Popular Conversations
hat are the square roots of 324? A. 162 and –162 B. 19 and ...
Weegy: What are the square roots of 324? C. 18 and –18
4/17/2014 10:38:56 AM| 8 Answers
The Filipinos call it the Luzon Sea and the Vietnamese call it the ...
Weegy: The Filipinos call it the Luzon Sea and the Vietnamese call it the East Sea, but however it's named, the SOUTH ...
4/17/2014 6:25:33 PM| 4 Answers
Read the sentence below and answer the question that follows. ...
Weegy: Kindly underline the verb indicated.
4/17/2014 10:31:56 AM| 3 Answers
Which of the following is a solution of y + x
Weegy: One number exceeds another by -5. The sum of the numbers is -1. The numbers are -3 and 2. User: A 20% acid ...
4/17/2014 4:31:53 PM| 3 Answers
WHAT IS NOUN?
Weegy: Nouns are a part of speech typically denoting a person, place, thing, animal or idea. User: WHAT IS ADMIRAL
4/17/2014 4:12:27 AM| 2 Answers
the climax of McClellan's Peninsular campaign in Virginia
Weegy: the climax of McClellan's Peninsular campaign in Virginia McClellan’s Peninsula campaign in the spring of 1862 ...
4/17/2014 4:46:05 AM| 2 Answers
What is the meaning of life today?
Weegy: What is the meaning of life today? A problem with this question is that it is not clear what sort of answer is ...
4/17/2014 5:30:49 AM| 2 Answers
Water sources in the Middle East are __________. A. easily ...
Weegy: Water sources in the Middle East are limited.
4/17/2014 7:08:31 AM| 2 Answers
Kasimir Malevich's images had no reference at all to ...
Weegy: nonrepresentational [ ...
4/17/2014 10:04:42 AM| 2 Answers
The cycle of the moon through its phases, or the synodic month, is ...
Weegy: The cycle cycle of the moon through its phases, or the synodic month is 30 days long.
4/17/2014 10:07:27 AM| 2 Answers
When looking at genetic traits Mendel experimented with pea plants. ...
Weegy: When looking at genetic traits Mendel experimented with pea plants. One of the traits he looked at was flower ...
4/17/2014 10:12:12 AM| 2 Answers
Weegy Stuff
S
L
P
C
P
C
1
L
P
C
Points 1426 [Total 9307]| Ratings 0| Comments 1426| Invitations 0|Offline
S
L
P
C
L
P
C
Points 1402 [Total 6789]| Ratings 0| Comments 1402| Invitations 0|Offline
S
1
L
1
L
P
Points 431 [Total 7108]| Ratings 1| Comments 421| Invitations 0|Offline
S
L
Points 369 [Total 2816]| Ratings 2| Comments 339| Invitations 1|Online
S
Points 145 [Total 561]| Ratings 0| Comments 145| Invitations 0|Offline
S
1
Points 139 [Total 469]| Ratings 3| Comments 109| Invitations 0|Offline
S
R
Points 117 [Total 229]| Ratings 5| Comments 57| Invitations 1|Online
S
Points 111 [Total 755]| Ratings 1| Comments 101| Invitations 0|Offline
S
Points 105 [Total 105]| Ratings 5| Comments 35| Invitations 2|Online
S
P
C
L
P
Points 76 [Total 3921]| Ratings 0| Comments 76| Invitations 0|Offline