|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CHICAGO (Islam Online) - The United States deficit in the broadest measure of trade climbed to a record high of $106.1 billion in the second quarter for this year as the booming economy allowed U.S. consumers to buy more imports than American exporters were able to sell. The Commerce Department reported Wednesday that the current deficit was up 4.6% from the previous quarter, showing an imbalance of $101.5 billion, less than the $108 billion that was anticipated by some analysts. The current deficit measures goods and services as reflected in the government's monthly reports and investment flows between countries and unilateral transfers, including U.S. foreign aid payments. On Monday, the International Monetary Fund labeled the soaring American current account-deficit as a major concern as a risk area because of potential re-flow of capital out of the United States to other international financial centers. Alan Greenspan, Federal Reserve Chairman, has cautioned against the unsustainable rate of increase in the deficit, warning it may cause future problems if foreign investors become fearful. The Clinton administration, which has often taken credit for the performance for the American economy, viewed the deficit as a sign of strength because the U.S. economy has been growing with a greater speed than its trading partners, taking a toll on employment opportunities within the country, critics argued. In 1999, the current account hit an all-time record high of $331.5 billion; this year's is expected to top it by $425 billion. |
|
||||||||
|
||||||||
|
