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Saving, Investment, and International Financial Flows

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The necessary counterpart to our enormous current account deficit is an inflow of foreign savings. Over the past decade, our current account deficit has generally reflected strong U.S. investment opportunities rather than American consumers’ profligacy.

Suggested citation: "Saving, Investment, and International Financial Flows," Federal Reserve Bank of Cleveland, Economic Trends, no. 01-06, pp. 08, 06.01.2001.

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