Gita Gopinath Rejects Trade Deficit Views

Gita Gopinath, a prominent economist, has strongly criticized prevailing views on trade deficits, labeling them as 'terribly flawed.' She specifically refutes the notion that the US dollar's status as a reserve currency is the primary driver of America's current account deficits. Gopinath argues that blaming the dollar is an outdated and incorrect economic theory. Her remarks challenge conventional wisdom and suggest a need for a more nuanced understanding of global trade dynamics.