Surpluses
in sentence
590 examples of Surpluses in a sentence
In the majority of cases, the twin
surpluses
of 2011, prior to the peak in oil prices, gave way to substantial twin deficits in 2016.
European policymakers are obsessed with national “competitiveness,” and genuinely appear to think that prosperity is synonymous with trade
surpluses.
And this is as serious a problem in the economies running trade
surpluses
as it is in those running deficits.
Economies running external
surpluses
are regarded as “competitive,” regardless of their productivity or growth performance.
There is a very strong correlation between rising labor productivity and economic growth, which holds for countries with trade
surpluses
as well as those with deficits.
The accumulation of large surpluses, especially in emerging Asian economies and oil-exporting countries, enabled the US to finance its current-account deficit.
In fact, by maintaining large trade surpluses, Germany is exporting unemployment and recession to its weaker neighbors.
For starters, much of what China exports includes components manufactured elsewhere, meaning that the country’s trade surplus actually includes the trade
surpluses
of many other countries.
This boosted their exports, limited imports, and led to large current-account
surpluses.
In the long run, governments should run balanced budgets, with
surpluses
in good years making up for deficits in bad years.
Under this plan, policymakers would establish a ceiling for the trade deficit each year and impose limits on trading partners’
surpluses.
Of course, “prudent” countries, with small current-account deficits or surpluses, will be much more immune to temporary shocks.
Latin America, Argentina and Brazil have been running comfortable external
surpluses
recently.
The real difference between these economies is that Germany and the Netherlands, unlike France, run large current-account
surpluses.
Then, under arbitrary assumptions regarding growth rates, inflation, privatization receipts, and so forth, they compute what primary
surpluses
are necessary in every year, working backward to the present.
When fiscal consolidation turns on a predetermined debt ratio to be achieved at a predetermined point in the future, the primary
surpluses
needed to hit those targets are such that the effect on the private sector undermines the assumed growth rates and thus derails the planned fiscal path.
Instead, we should map out a forward-looking plan based on reasonable assumptions about the primary
surpluses
consistent with the rates of output growth, net investment, and export expansion that can stabilize Greece’s economy and debt ratio.
Northern Europe’s Drag on the World EconomyMADRID – In recent years, China’s current-account
surpluses
– which have averaged almost $220 billion annually since 2000 – have attracted much criticism from the rest of the world.
But Germany’s similar-size
surpluses
– which have averaged about $170 billion since the euro’s introduction in 1999 – have, until recently, largely escaped scrutiny.
So long as the eurozone as a whole was relatively balanced, Germany’s
surpluses
were considered irrelevant – just as, say, Texas’s
surpluses
have never been considered an issue in the United States.
Chinese surpluses, by contrast, were seen as a cause of global imbalances.
These factors – together with the lack of trade data for regions within countries – have led economists only rarely to consider countries’ internal
surpluses
or deficits.
That question is all the more important, because the Netherlands and Austria, two of Germany’s Northern European eurozone neighbors, continue to run current-account surpluses, while the Southern European crisis countries have reversed their previously large deficits, as austerity has squeezed domestic demand and made room for an increase in exports.
Now, China is out-competing everyone, racking up huge trade
surpluses
with the US.
The IMF's departing Chief Economist, Ken Rogoff, warns that the
surpluses
put global stability at risk.
In the end, this may be the most compelling reason for why China should continue to run trade
surpluses.
But, as periphery countries move into current-account balance and northern countries such as Germany run massive surpluses, the flip side has been deterioration in emerging-market surpluses, heightening their vulnerabilities.
The opposite is the case for countries with current-account
surpluses.
They are afflicted by subpar consumption, excess saving, and chronic trade
surpluses.
That is larger than the $8.9 trillion of cumulative
surpluses
run collectively by the three largest surplus economies – Germany, China, and Japan – over the same period.
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