US Trade Data Explained

  The US trade  data   deficit is a key economic indicator for the country. The US is the largest exporter of goods in the world. To compare the values of imports and exports across time can be a bit confusing. The gross domestic product data from the US government are very useful tools to understand the balance of payments. For instance, if you want to know the value of imports, it is easier to find out the net deficit and compare it against the gross domestic product growth. Net imports or the imports minus exports represent the value of the country's domestic products less the value of its external debt. When the value of imports is more than the value of exports, that's a deficit. And when the value of exports is more than the value of imports, that's a surplus. But when the opposite is true, which is the case most of the time, then that means that imports are exceeding exports. That's called an excess export or deficit. The US has a lot of excess exports, especiall...