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In a market economy resources tend to be allocated optimally.  Discuss how the interaction of consumers and producers makes this  happen. United States has large trade deficits with many countries.  Discuss at least two reasons for the trade deficit. Note: Your  discussion must be based on positive economic analysis. Avoid  interjecting your own personal opinion. Many economists believe there is a conflict between the economic  goals of growth and equity. Do you agree or disagree? Provide your  reasons.

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