People like Ken Rogoff talked about global imbalances in the current account deficit not being sustainable.
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But now the current account deficit is no longer covered by foreign direct investment.
South Africa's current account deficit stands at a 22-year high and totals 4.2% of GDP.
However, he says, Paulson has not done enough to curb the ballooning U.S. current account deficit.
In contrast, the U.S. is a chronic importer with a chronic current account deficit.
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It turns out that the U.S. current account deficit has been easier to finance than pessimists think.
But the government will have to reduce the current account deficit and be wary of economic overheating.
Stateside, the trade imbalance between the values of what America imports and exports is known as the current account deficit.
That is in contrast with the US, with its large current account deficit and its borrowing from China.
Rate cuts could potentially widen the current account deficit by encouraging consumption and boosting demand for imported goods.
Only six months ago, the Fund thought Britain's current account deficit in 2013 would be "only" 2.7% of GDP.
However, high inflation and a wide current account deficit have constrained the central bank from lowering interest rates aggressively.
All this means that the U.S. current account deficit in a normal year now runs about 5 percent of GDP.
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The average current account deficit of the four periphery economies now under pressure was 7% of national income in 2010.
Your current account deficit is higher than you expected, but still we can afford it, there is no great problem.
I've mentioned it often enough in the past, along with the likely rise in the current account deficit last year.
Every extra dollar of current account deficit incurred by the United States is another dollar that has to be funded by foreigners.
However, this would be the peak and he expects a lower current account deficit in the new fiscal year that begins April.
Portugal has a gaping current account deficit, a shrinking economy and 7.5% of GDP's worth of austerity in train, for 2011-12 alone.
High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit.
Instead, the Reserve Bank of India warned that high inflation and a wide current account deficit have left little room for further easing.
That's the highest since 1989 and only the fourth time since 1948 that our current account deficit has been greater than 3% of GDP.
The current account deficit runs 3 to 5 percent of GDP (up from less than 0.5 percent at its weakest in the early 1970s).
The report does have one other piece of bad news for the UK: it thinks our current account deficit is going to get even bigger.
Thanks to the dollar's stability, liquidity and low transaction costs, the U.S. has an edge in attracting capital inflows to finance the current account deficit.
Indeed, like Argentina, Italy faces a growing competitiveness loss given an increasingly overvalued currency and the risk of falling exports and growing current account deficit.
"The current account deficit remains the biggest risk to the economy, " and could warrant a swift reversal of its policy stance, the RBI said on Friday.
These bonds are meant to wean away small investors from buying unproductive assets such as gold that have contributed to the country's record-high current account deficit.
The current account deficit will likely narrow to 4.7% of gross domestic product in the current fiscal year from an estimated 5.1% last year, he said.
And, unlike America, they are not running a current account deficit with the rest of the world: they are paying their way in the global economy.
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