“Before the U.S. government began running budget surpluses during the Clinton administration (which have of course become large deficits since that time), Japanese officials maintained that a key step for reducing the U.S. current account deficits was not that foreign markets should become more open to U.S. exports but, rather, that the U.S. government should have reduced its budget deficits of that time. Was there validity to that point? If so, why? If not, why not?”