Question

Which statement best describes the trade relationship between the US and China?

The US has a trade surplus with China.
The US has a trade deficit with China.
The US has greater purchasing power parity (PPP) than China.
The China has greater purchasing power parity (PPP) than the US.

Answer 1

I believe the correct answer is B - the US has a trade deficit with China

Answer 2

The Correct Answer is

The US has a trade deficit with China.

Step-by-step explanation:

• The restriction on the trade by the United States on China also known as Trade war between China and the United States.
• China is manipulating its currency according to trump's administration they claimed that in the year 2018 deficit with China was estimated at around 500 billion dollars.
• China has many more trade barriers that are too high on Imports or restrictions on foreign investment.