[rightwingcrazy]

IF a business continues spending more money than it makes, then it eventually goes out of business. How is it different with a nation?

[SeekAndFind]

RE: IF a business continues spending more money than it makes, then it eventually goes out of business. How is it different with a nation?

Well, I have a “trade deficit” with my grocer, mechanic, barber and a whole heap of goods and service providers. I don’t consider it spending more money than I make....

[Toddsterpatriot]

IF a business continues spending more money than it makes, then it eventually goes out of business.

Yes, the budget deficit is huge and stupid. The trade deficit is not a budget deficit.

How is it different with a nation?

Well, our nation will make about $20 trillion in GDP this year. How do you figure we're spending more than we make?

[BfloGuy]

IF a business continues spending more money than it makes, then it eventually goes out of business. How is it different with a nation?

The U.S. is not spending more than it makes. All our imports are paid for in cash.

The trade deficit is not debt.

What you're claiming would be true if we only made money from what we export. But we also make money from the goods we manufacture and sell within the U.S.. We use some of that money to buy goods from abroad.