From the 1990s to the present, the U.S. current account balance ...

[tuffie]

From the 1990s to the present, the U.S. current account balance has had a ________, and the U.S. capital and financial account balance has had ________.
 
  A) deficit; a deficit
  B) deficit; a surplus
  C) surplus; a deficit
  D) deficit; neither a deficit nor a surplus
  E) surplus; a surplus

Question 2

Explain the concept of learning by doing with respect to infant industry protection.
 
  What will be an ideal response?

[soda0602]

Answer to Question 1

B

Answer to Question 2

Learning by doing refers to the knowledge and skills that workers gain during production. These skills and knowledge increase productivity and lower costs. Infant industries, those which are at an early stage of development, can benefit from learning by doing by becoming more productive and cost efficient, and in doing so become more competitive in the world market.