Closing the gap

The Econ­o­mist points to some intrigu­ing OECD mod­el­ing of options for clos­ing Amer­i­ca’s $145bn (5% of GDP) cur­rent account deficit. bq. Amer­i­ca must beg­gar its neigh­bours with a com­pet­i­tive deval­u­a­tion of the dol­lar, or beg­gar itself with a mas­sive fis­cal contraction—or both (“Economist”:http://www.economist.com/agenda/displayStory.cfm?story_id=2784281)