Welcome to European Tribune. It's gone a bit quiet around here these days, but it's still going.

Oil, Not China, Is The Real Destroyer Of America's Trade Balance

UBS's head of Asia-Pacific economics argues that the real global trade imbalance isn't U.S.-China, it is U.S.-oil. As shown below, current account surpluses from fuel exporting-nations have been a far larger driver of total global trade imbalances coming from emerging markets.


Thus the U.S. could use a little less finger-pointing at China... and a lot less foreign oil usage... if it really wants to correct its global trade imbalance.
This is a huge argument against U.S. trade protectionism since protectionism would miss the largest cause of America's trade deficit while only hurting U.S. export prospects by pissing off trade partners.

Wind power
by Jerome a Paris (etg@eurotrib.com) on Sun Apr 11th, 2010 at 02:58:23 PM EST

Others have rated this comment as follows:

melo 4
afew 4


Top Diaries

Occasional Series