
“A measure of the nation’s debt to other countries jumped 33% in 2021 to a record $821.6 billion, largely reflecting unprecedented U.S. trade deficits. The debt represented 3.6% of gross domestic product, up from 2.9% in 2020. Most of the increase was the result of a huge trade gap in goods. The U.S. economy has recovered faster than other countries, so imports have surged but exports have lagged behind. The current-account deficit in the fourth quarter, meanwhile, slipped almost 1% and declined for the first time in two years. The U.S. current-account deficit fell to $217.9 billion from $219.9 billion in the third quarter. The deficit dropped to 3.6% of GDP from 3.8% in the prior period.”
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