Explain Why the Budget Deficit and the Trade Deficit Are

question 103

Essay

Explain why the budget deficit and the trade deficit are sometimes referred to as the "twin deficits."

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Definitions:

Groupthink

A psychological phenomenon in which the desire for group conformity results in an irrational or dysfunctional decision-making outcome.

Challenger Explosion

The catastrophic breakdown of the Space Shuttle Challenger shortly after its launch in 1986, resulting in the deaths of all seven crew members.

Social Influence

The effect that the words, actions, or mere presence of other people have on an individual's thoughts, feelings, attitudes, or behaviors.

Twenty Statements Test

A psychological tool used to measure an individual's self-concept by asking them to complete the sentence "I am..." twenty times in different ways.