Question: China has had an overall trade surplus in recent years. Economists suggest that this continuing phenomenon is due to several things, including an inappropriate exchange
China has had an overall trade surplus in recent years. Economists suggest that this continuing phenomenon is due to several things, including an inappropriate exchange rate. How would a Mercantilist view this surplus? Why might David Hume argue that the surplus will disappear on its own?
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A Mercantilist would view the continuing trade surplus as a very desirable outcome since it produces ... View full answer
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