Saving and net flows of capital and goods
Now suppose that a country is experiencing a trade deficit. Determine the relationships between the entries in the following table, and enter these relationships using the following symbols: > (greater than), < (less than), or = (equal to).
Outcomes of a Trade Deficit
Exports ____ Imports
Net Exports _____ 0
C + I + G _____ Y
Saving ____ Investment
Net Capital Outflow ___ 0