Expedition 5: Balance of Trade Merchandise Trade Balance is the difference between the amount of money a country receives from selling its goods abroad and the amount of money it pays to buy goods from other countries. 1. Access Virtual Expeditions and review the data on merchandise trade balance. Create a graph of the data for the period 1960 to 1997. In which year(s) did the US merchandise trade balance with Japan show a surplus? In which year(s) did the US balance of trade on merchandise show a deficit? ____________________________________________ 2. What economic trends may have contributed to deficits in the US trading relationship with Japan? ____________________________________________ 3. What are the implications for the US economy when we maintain a trade deficit with Japan? ____________________________________________ 4. Read the following two articles, America Benefits from Free Trade and The Truth About Trade. As a group, prepare a US policy on trade with Japan. What is your philosophy of international trade? What do you want to promote? What do you want to avoid? Related Links Japan Tradeport Japan:
Economic Trends and Outlook Japan
Web Navigator Japan
Information Network United States America
Benefits from Free Trade The
Truth About Trade US
Customs
[ site map | talk to us ] |