Large current account surpluses in China and other EMEs and equivalent deficits in the US and elsewhere are often attributed to the exchange rate policies in China, other EMEs and oil exporters. Given the fact that the US demand exceeded output, it is apparent that the US current deficit would have continued at its elevated levels.
A key challenge with immigration is to remove the various barriers that keep educated and skilled immigrants from contributing to their full potential. But making the best of the aging process is not only a question of fighting labour shortages, it is also a question of finding ways to do more with fewer workers.