Mises Daily
Author:
Robert P. Murphy
Online Publish Date:
For some time I have been trying to defuse the hysteria over the US current account deficit (e.g., 1 , 2 , and 3 ). Using economic arguments and (I hoped) funny analogies, I tried to show that there is nothing necessarily bad about foreigners selling us more final goods and services than we sell to them. My refrain was always that yes, a massive