Foreign trade is an important component of aggregate economic activity, representing a significant portion of gross domestic product.
The U.S. current account deficit decreased to $110.4 billion, or 2.8 percent of GDP in the fourth quarter of 2012, from $112.4 billion or 2.8 percent of GDP in the third quarter of 2012. For the full year 2012, the current account deficit was $475.0 billion or 3.0 percent of GDP, up from $465.9 billion or 3.1 percent of GDP in 2011.
U.S. International Transactions is a quarterly statistical summary of transactions between U.S. and foreign residents organized into the current account, the capital account, and the financial account. The current account records exports and imports of goods, services, income, and current transfers. The capital account records capital transfers, such as debt forgiveness. The financial account records transactions for official assets, for U.S. government assets other than official reserve assets, for direct investment, for portfolio investment, and for other investment.
The international transactions accounts provide information on trade in goods and services (including the balance of payments and the balance of trade), investment income, and government and private financial flows. In addition, the accounts measure the value of U.S. international assets and liabilities and direct investment by multinational companies.
Bureau of Economic Analysis data on direct investment is the most detailed data set available on the operations of multinational companies. We use the data to assess the role these companies play in the global economy.
Chris Bryant, MBA, RFC® is founder & CEO of Bryant Wealth Management, Inc. Bryant provides independent, fee-only, financial planning services for individual investors. Since 1999, Chris has devoted himself to helping people make money, save money, protect money, have convenience and peace of mind. He is the author of the new book, Personal Financial Planning. Connect with Chris by E-mail or call toll-free 1-800-980-3048.
Chris Bryant is an American financial advisor.