The U.S. current-account deficit, which expanded sharply in 1999:IQ, is likely to reach $310 billion by year’s end. Since 1997, our trade shortfall has increased dramatically as foreign economic growth slowed in the wake of worldwide financial crises. Now, however, the worst has passed, and the enormous differential between U.S. and foreign rates of economic growth seems likely to disappear by 2000.
Suggested citation: "Current-Account Developments," Federal Reserve Bank of Cleveland, Economic Trends, no. 99-09, pp. 18, 09.01.1999.