What Has Happened to the U

question 127

Essay

What has happened to the U.S.trade balance and exchange rate over the past 30 years? What happened to the size of the trade deficits after 2000?

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Definitions:

Book Value

The value of an asset according to its balance sheet account balance, taking into account the cost of the asset minus accumulated depreciation.

Poison Pill

A corporate tactic to avoid being acquired. A poison pill is a clause written into a firm’s bylaws that makes it prohibitively expensive for an acquiring firm to take control.

Takeover Attempt

A bid by a company or investor to acquire control of another company, often by purchasing a substantial portion of its stock.

White Knight

A friendly investor or company that acquires a firm at risk of a hostile takeover, often viewed as a more favorable option by the target company's management.