Part 3/10:
However, the trade deficit merely indicates that the U.S. purchases more goods from a country than that country purchases from the U.S. It does not necessarily reflect a failing economy. For example, one could argue that an individual runs a trade deficit with their grocery store, as they pay for products without directly selling equivalent goods in return. Economists explain that this is normal and that money eventually flows back into the U.S. through investments and loans.