Two of the implications of large U.S. trade deficits for the United States are

A) decreased current consumption and decreased indebtedness to foreigners.
B) reduced budget deficits and decreased indebtedness to foreigners.
C) reduced current consumption and higher saving.
D) increased current consumption and increased indebtedness to foreigners.

Trade Deficits

A condition in which a nation's expenditures on imported goods and services surpass its earnings from exports, resulting in a trade deficit.

Indebtedness To Foreigners

The total amount of money that a country owes to foreign creditors.

Current Consumption

The purchases of goods and services for immediate use, as opposed to saving or investing for future use.