[Tauzero]

Nick,

You're off by a factor of 4. GDP for the full year is about $10 trillion. Your source is annualized, quarterly numbers.

The trade deficit for all of 2001 was about $410 billion.

The current proportion of 4.5% is about right.

[JNB]

Even immigration can not prop up housing forever. What has kept housing propped up is artifically low intrest rates, but as the article says, homeowner equity is at a all time low. My guess, Sept 11th tightening up of the borders and the demise of the old INS(yes tons of illegelas still coming to the US, but things take time to change), creeping of unemployment will over the intermediate term, reduce the level of illeagal immigration. The fact that the INS is no longer under the dept of Justice is a massive sea change.