Two cheers for a big US trade deficit

posted by
September 19, 2011
Competitive Enterprise Institute
by Ivan Osorio and David Bier  
Posted in Commentary

"News that the U.S. trade deficit narrowed this summer has brought the usual cheers from commentators. The Associated Press celebrated, noting, '[A] narrowing trade deficit adds to economic growth.' Bloomberg News called the smaller trade gap a 'boost to the economy.' Meanwhile, opponents of pending free trade agreements with South Korea, Panama and Colombia claim that the trade deficit is still too large and the trade deals should be abandoned." (09/18/11)  

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