What causes trade deficits and how they can both help and hurt a country's economy. In this episode you'll learn: How GDP is calculated. How imports can both help and hurt an economy. How the balance of payment components of the current and capital accounts offset each other. How trade deficits can be caused by the amount of investment capital flowing into a country.. Show Notes Video of cleaning the beach in Tulum, Mexico Analysis of Trump's Economic Plan by … [Read more...]
MNY140 Plus: YieldCos, Currencies and the Border Tax
This week January 14, 2016 on Money For the Rest of Us Plus we look at the potential impact of a border tax on the U.S. dollar and whether an absolute strengthening of the dollar is as certain as some experts think. We look at whether currency changes impact asset class valuations. Finally, we explore yieldcos, a relatively new investment vehicle for accessing renewable energy assets. … [Read more...]
104: Is It Possible To Win At Trade?
When a country runs a trade deficit is that a good or bad thing? It depends. Learn why in this episode. Photo by Gage Skidmore In this episode you'll learn: Why the gold standard prevented the U.S. from running a trade deficit.How trade involves exchanging money with no intrinsic value for real wealth.Why trade deficits are unsustainable unless a country runs a budget deficit.What is a comparable advantage when it comes to trade.Why it's better for countries to … [Read more...]