Five years ago, I shared this video explaining why trade deficits generally don’t matter. The most important thing to understand is that a trade deficit is the same thing as a financial account surplus (formerly known as a capital surplus), which is easy to understand when reviewing this graph. And that type of surplus occurs […]
Dumb Idea of the Month: Currency Devaluation
Dumb Idea of the Month: Currency Devaluation
23 Apr 2024 Leave a comment
in applied price theory, applied welfare economics, industrial organisation, international economics
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