Implications of a trade surplus

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Reference no: EM1375662

Japan has had an overall trade surplus in current years. Economists advice that this continuing phenomenon is due to many things, including an inappropriate exchange rate failure of government rules to sufficiently stimulate Japanese economy to import more.

How would a Mercantilist view this surplus?

Why might David Hume argue that the surplus will disappear?

Reference no: EM1375662

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