BOOM goes the trade deficit! Here, then, are some questions and answers about the new trade deficit numbers:Why do we think this happened? The problem with this is that the trade deficit is a macroeconomic variable. For example, our trade deficit tends to be low when our unemployment rate is high, and vice versa. The President’s vow to improve U.S. trade agreements and thereby ‘fix’ the trade deficit was a bit like someone promising to end a long dry spell by performing a rain dance.

Source: Forbes February 06, 2018 20:03 UTC