EconWatch.com > Looking Forward to the Real-Side Adjustments When the Dollar Declines

[Brad DeLong's Semi-Daily Journal: Fair and Balanced Almost Every Day] Econbrowser: Does Manufacturing Matter? An Update: Here's the policy implication: If one needs to get the trade deficit to GDP deficit down from the 6 percentage points recorded in 2006q2 to say 2 percentage points, the implied 4 percentage points of adjustment will have to take place over either 12 or 39.5 percentage points worth of value added (in the tradeables sector).

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