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Joined 8 months ago
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Cake day: July 11th, 2024

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  • It is actually even more stupid. If Country A invests into Country B, then Country A has a trade surplus with Country B. However it also owns the investments, which means profits from the investment in Country B should be send back to Country A.

    That is exactly what happened with the US. They invest a lot abroad after WW2 and are now living of the capital they own abroad.