Lately the debate surrounding the current account and its linked deficit or surplus has been a lot publicized. That is mainly owing towards the current-account deficit that the Usa (US) has amassed over the past decade. The majority of the exploration therefore also focuses on the US (Stucka, 2003).Many people dilemma if working a deficit is sweet or negative with the financial system. In this particular homework we look at this dilemma. We what’s more examine the relationship among the current account, the trade charge and economic development from the macroeconomic equilibrium point of view.