For a long time, large US trade and current account deficits didn’t push up the total amount the United States owed to the world, at least not if the market value of US investment abroad was netted a…

The US recently released its current account data for the fourth quarter. Among other things, the data showed another $150b in official inflows in q4, bring the total for 2007 up to around $400b. In …

The q2 US current account data poses two puzzles. The first is the sharp drop off in official inflows in q2.   They fell from $150b in q1 to $70b in q2.   That fall was, incidentally, offset – mechan…

Many analysts believe – extrapolating from the q4 data and the stabilization of the non-oil trade deficit – that the US current account deficit has peaked.  Stephen Jen is the most prominent example,…

Mark Whitehouse highlighted the deterioration in the US income balance in yesterday’s Wall Street Journal.   The US paid more in interest and dividends on its external borrowing (and foreign equity i…