Lecture
This lecture delves into the main components of GDP, explaining the equations behind national accounts and the significance of production, imports, consumption, investment, and exports. Through examples like shoe exports and gold refining, the instructor illustrates how trade balances and surpluses impact economies, using the USA-China trade relationship as a case study. The lecture also explores the implications of trade deficits on employment and income, shedding light on the complexities of international trade dynamics.