The U.S. Has a YUGE Merchandise Surplus with China (and That's Okay)

When I buy from Wal-Mart, I'm not losing by giving up my dollars in exchange for goods. If anything, I'm winning. After all, in a normal trade situation, each side has to feel as though they're walking away better than when they started, or the trade won't take place at all.

The same is true in international trade.