# Explain why X IM = (S I) (G T). Now multiply both sides Assignment Assistance

Explain why X IM = (S I) (G T). Now multiply both sides of this equation by 1 to getIM X = (I S) + (G T) And remember that the trade deficit, IM X, is the amount we have to borrow from foreigners to get Borrowing from foreigners = (I S) + (G T)Explain the common sense behind this version of the fundamental equation.; Explain why X IM = (S I) (G T). Now multiply both sides of this equation by 1 to getIM X = (I S) + (G T) And remember that the trade deficit, IM X, is the amount we have to borrow from foreigners to get Borrowing from foreigners = (I S) + (G T)Explain the common sense behind this version of the fundamental equation.

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