and Implications of
U.S. Trade Performance
Exchange rates and the U.S. trade deficit. The role of comparative advantage. Measures of trade performance. The merchandise trade balance and the current account balance. The United States, Japan, and OPEC. Income elasticities of import and export demand. International competitiveness of U.S. industries. Inflation and cost competitiveness. Industry interactions. Adjustment assistance. The oil-trade deficit.
U.S. trade performance reached a turning point in 1965, when the merchandise trade balance fell for the first time