>It is
>not, quote, impossible, that the New Economy and
>associated productivity revolution might vastly
>increase US non-price competitiveness, open up new
>markets, blah, blah, Internet, blah, and square the
>circle by changing the equilibrium relationship
>between domestic demand and the current a/c balance.
>No, I don't think it's particularly likely either.
>But that's the escape podule for bulls.
So why has trade deficit been expanding? If these advantages exist, shouldn't they be showing up in the U.S. international accounts already?
Doug