[khelus]

"Bottom line: there is no net trade imbalance."

That's an overly simplistic way of looking at it. It ignores that if you are importing goods, and exporting your manufacturing capability, that you are liquidating your means of production. And that is "balanced trade" recipe for bankruptcy.

I have heard this aptly referred to as 'selling your seed corn'.

[DannyTN]

"I have heard this aptly referred to as 'selling your seed corn'. "

Exactly. And then bragging that it's not a problem because sales are up.