Therefore, when U.S. exports are insufficient to finance U.S. - TopicsExpress

Therefore, when U.S. exports are insufficient to finance U.S. imports, the United States increases both its debt to people abroad and the value of foreign claims against assets in the United States. Financing of the U.S. trade deficit has resulted in a larger foreign accumulation of claims against U.S. financial and real assets than the U.S. claim against foreign assets. In 2008, foreigners owned about $3.5 trillion more of U.S. assets (corporations, land, stocks, bonds, loan notes) than U.S. citizens and institutions owned in foreign assets.

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