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To: Henry Volquardsen who wrote (1806)6/16/1999 10:01:00 PM
From: Freedom Fighter  Respond to of 3536
 
Henry,

>>>The amount of demand for USD over and above the current account deficit is offset.<<<<

>if this is in reference to the Honda example then it is not demand over and above the current account deficit. It is demand equal to the current acount deficit. If Honda sold the Honda for $20,000 but had a desire to hold $30,000 in US bonds the additional $10,000 would be demand over and above the current acount deficit.<

Agreed. That's what I meant.


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