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| Topic: |
Business
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| Number of pages / Number of words: |
7 / 1946 |
Essay's paper body
However, with domestic demand led growth (as in the United States and Australia) the trade balance will worsen at the same stage in the business cycle.
ECONOMIC IMPACT
Modern economists are split on the economic impact of the trade deficit with some viewing it as a loss in a fixed volume of trade and other voices who claim it is a sign of economic strength...
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An expanding economy means increased demand for domestic and foreign products. This rising demand promotes domestic investment as both foreign and domestic businesses seek to capitalize on the growth in demand. As the rate of growth accelerates foreign credit sources have greater incentives to invest in a growing nation's capital...
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