Article Presentation Example | Topics and Well Written Essays - 250 words

Presentation - Article Example Delving into influence borne by the dollar deficit with respect to the nation’s trade adjustment we see that there exist three main pillars: Invoicing international transactions, High US distribution cost and Market share concerns of foreign export (Goldberg and Dillon, 5) A consolidated view on the invoicing aspect clearly reveals that the import invoiced in dollars s just as the export, hence a dollar deficit acts as a saw that cuts both sides. Furthermore, the dollar deficit in a way results to high marketing and distribution costs that are subsequently relayed to consumers in form of high prices on goods. Consequently, a low trade exchange is experienced between the US and here trade partners and most devastating is that there arises an unparallel trade system for example due to the dollar deficit European goods Marketed to the US on a Euro basis upper hand. Therefore, the power of controlling the profit margins is subsequently lost and is vested on the trading currency of the European nation- the result is abnormally high prices of goods (Dillon,