At the end of the day, there are also American products and services that are in very high demand in Germany – in the IT and mobile sectors, for instance, or the internet search engine industry, to name just a few. It is also difficult to pin market distortions on trade or current account balances.
All in all, the current account balance reflects the countless saving and investment decisions made within an economy. In addition to the decisions made by enterprises and households, fiscal policy plays a role here. Simulation exercises conducted by the Bundesbank reveal that the tax cuts passed in the United States will probably push up debt and current account deficit levels considerably.