I am an Israeli water engineer of a curious nature. Some of my clients are not paying (yimach smam - a Hebrew curse), and I wonder if I should continue working with them. Thinking at a global perspective from my 3 m by 2 m cave, I wonder why America can keep trading with a persistent current-account deficit that came to $1.12 trillion for 2025 — 3.6% of GDP. By trading partner, the largest bilateral deficits are with China (~$270 billion), Mexico (~$157 billion), Vietnam (~$113 billion), Ireland (~$80.5 billion), and Germany (~$76.4 billion). Maybe America's military strength explains this kind of balance. Israel, fortunately, is a structurally strong country with a large savings account. We can do without foreign assistance.
Pic.: Mongol taxman collecting tribute.
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