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The US must grapple with the hard issues of devising the means to boost productivity with policies that: 1. foster greater private capital formation, 2. increase investment in infrastructure, 3. expand research and development expenditures, 4. improve the quality of education, and 5. stimulate entrepreneurial activity.
This paper will discuss our trade deficit and what it implies about our ability to compete globally.
We've had this trade deficit for over a decade. Some people, and a number of policymakers, see this as a symptom that we've lost our edge in international competition. Here's their diagnosis of the problem: Foreign competitors are able to take markets away from U...
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