A6 How long a country can sustain a surplus or deficit on its long-term capital account, are there any limits? Explain this. Should Americans worry about the size of the deficit in the current account of the US balance of payments? Also, Is there a limit to how long a country can sustain a surplus or deficit on its current account? elaborate it

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter23: The International Trade And Capital Flows
Section: Chapter Questions
Problem 44P: Imagine that the U.S. economy finds itself in the following situation: a government budget deficit...
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How long a country can sustain a surplus or deficit on its long-term capital account, are there any limits? Explain this. Should Americans worry about the size of the deficit in the current account of the US balance of payments? Also, Is there a limit to how long a country can sustain a surplus or deficit on its current account? elaborate it.

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