Increasing U.S.trade deficits result in:

A) federal budget surpluses.
B) increased U.S.savings.
C) reduced purchases of U.S.government bonds by people in other countries.
D) accumulation of dollars overseas.
E) increased U.S.investment abroad.

U.S. Trade Deficits

occur when the total value of goods and services the United States imports exceeds the value of what it exports.

Government Bonds

Securities issued by a government to raise funds from the public to finance its expenditure.