Which statement is false? (LO3)

a) During World War I and World War II, the sum of our imports and exports as a percent of GDP rose sharply.

b) Foreign trade in goods is much more important to the American economy than foreign trade in services.

c) Because the American economy is much larger than any other economy, we can continue running larger and larger trade defi cits for as long as we like.

d) We pay for a large chunk of our trade defi cit with U.S. dollars.