People who don't understand economics often claim that because the US has a trade deficit that we are somehow in trouble economically. To show the folly of that assumption, I point out that Japan, which has had a large trade surplus for decades had a 15 year deflationary recession since the late 80s.
I also point to Germany which has had a large surplus for decades and tends to have double digit unemployment and anemic GDP growth.
and you guys are broke.
Unlike you guys? LOL!
yes, unlike you.
US private savings rate is below zero.
US household is a wreck.
Your economy runs on foreign loans (2500 bn $).
Large parts of your economy were financed on subprime mortgages that are now imploding, taking the mortgage market for higher ranked loans with it.
broke. unlike us. probably in recession in june.