U.S. annual trade deficit falls for first time in six years
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Posted 9:00AM on Thursday, February 21, 2002
WASHINGTON - The U.S. trade deficit in 2001 showed the first improvement in six years as the recession cut into America's appetite for foreign goods, the Commerce Department reported Thursday. Still, the $346.3 billion imbalance was the second-largest deficit in history. <br>
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The 7.8 percent improvement in the overall deficit last year came after the imbalance had soared by 43.5 percent in 2000 to an all-time high of $375.7 billion. <br>
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Many economists predict the deficit will retreat further this year. But this forecast depends on overseas economies gaining strength and helping to offset rising U.S. demand as the American economy posts an expected rebound from its first recession in a decade. <br>
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In December, the monthly trade gap narrowed by 11.4 percent to $25.3 billion, the best showing since September. <br>
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