Briefly describe the factors that contributed to the U.S. Current ...

[saliriagwu]

Briefly describe the factors that contributed to the U.S. Current Account deficits of the 1990s.
 
  What will be an ideal response?

Question 2

The existence of positive externalities due to the impossibility of full appropriability
 
  A) supports the conclusions of the Heckscher-Ohlin model.
  B) rejects the usefulness of government protectionism.
  C) supports the concept that the government should support only high-tech industries.
  D) provides support for government protectionism.
  E) supports arguments for free trade.

[vickyvicksss]

Answer to Question 1

Rapid U.S. economic growth raised income and import demand; economic growth was low or negative for U.S. trading partners, depressing export demand.

Answer to Question 2

D

[saliriagwu]

Gracias!

[sarah_brady415]

Excellent