[dennisw]

Doesn’t make the trade deficit debt. Try again?.......

You can call it whatever you want but everyone else knows a trade deficit accumulates into debt. You can ask the Chinese if they think our trade deficit becomes a debt

[Toddsterpatriot]

You can call it whatever you want but everyone else knows a trade deficit accumulates into debt.

Accumulates into debt? What does that even mean? Do you imagine it turns into debt?

Does it only "accumulate into debt" if the foreigners buy T-Bills? What if the government balanced the budget and paid off all the T-Bills? Would it still "accumulate into debt"?

What if the foreigners then bought GE bonds with their cash? Would it still "accumulate into debt"?

What if they bought stock instead of bonds? Would it still "accumulate into debt"?