Question: Figure 7-1 shows that the U.S. net international borrowing has become a larger percentage of GDP since 1990. Yet net investment income from the rest

Figure 7-1 shows that the U.S. net international borrowing has become a larger percentage of GDP since 1990. Yet net investment income from the rest of the world has remained a positive, though declining, share of output. Explain how this is possible.

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