Posted on 01/20/2016 6:32:44 AM PST by andrewinhd
The idea that China is totally dominating the United States is equally absurd. Yes, China has experienced impressive gross domestic product (GDP) growth over the last decade or so, but (a) that’s what developing countries do (especially former centrally planned ones with more than a billion people); and (b) America remains much, much wealthier, greener, more egalitarian, and more productive. It’s not even close—no, really.
China’s incessant quest for GDP growth through the kind of economic interventionism that Trump just loves has led to some serious economic distortions. Moreover, unless you’ve been living under a rock for the last six months, you’d know that China’s incessant quest for GDP growth through the kind of economic interventionism that Trump just loves has led to some serious economic distortions (e.g., a frightening property market, rampant industrial overcapacity, a banking sector riddled with non-performing loans, and serious capital flight), not to mention crazy stock market turmoil.
(Excerpt) Read more at thefederalist.com ...
The trade deficit is real. Not easy to spin that.
Trade deficit is real.
High tariffs worked for the U.S. for 180 years.
Since we’ve lowered the tariffs, we’ve seen industry after industry offshoring.
Unemployment is sky high despite official numbers.
Real wages are dropping.
Walk through Walmart and notice how many of the products are made in China.
We even depend on China for military parts.
How can USA be so wealthy and so in debt at the same time? I’ve never heard Trump talk about “green” issues and yes, China manipulates their currency and yes there is a Huge trade deficit,,which is what he speaks to mostly.
So, no, not everything is wrong.
The author says this WITHOUT elaborating at all ——”The Chinese government is also certainly no angel when it comes to trade (far from it)”
Wonder why....
Author is a trade attorney who represented the US Chamber of Commerce and was an advisor to the McCain campaign.
It pays to read the fine print....
At this point, I think I'll go with the guy that works in the business world every day, rather than a trade attorney and scholar, thank you.
I don’t like the idea that China’s economy can affect ours the way it does when it is they who are the communists.
We give them green paper and they give us stuff.
THAT is a GREAT DEAL that even an Establishment liberal like Trump should understand.
But like everyone else, except maybe Trump, the Chinese have realized that green paper isn't worth much.
So THEY trade it for stuff from other countries.
And eventually that green paper is repatriated to America.
That's the tricky part. The green paper reenters the US in trade over the entire economy, which is hard to point to, unlike a closed factory.
This ignorance is what demagogues like Trump make use of. But I'm not fully convinced that he understands trade deficits, at all.
What nation do we owe are largest portion of our foreign held debt to? Hum, that would be CHINA.
So, China sends us their goods, and in return, they get pieces of green paper. Tell me again who’s being stupid?
At this point, I think I’ll go with the guy that works in the business world every day, rather than a trade attorney and scholar, thank you.
++++
I’ll go with Milton Friedman and the author of this article. You should read the article, particularly about the impact on you, me, Iowa farmers and everybody else from the imposition of Trump’s 45% tariff on imported Chinese goods.
Working in the business world does not make one an expert on economics and trade policy. Trumps Seat of the Pants, “Common Sense” economic views would be a disaster for this country.
The only possible bright light here is that even Trump probably knows that already. But he’s a salesman so he sells what is selling well.
Pointing to the trade deficit numbers is like pointing to the U3 unemployment numbers or the budget deficit numbers.
You have to look at the bigger picture, dont be distracted by shiny objects
We'd have never become the industrial powerhouse we once were if the free trade crowd had been in charge. That's an undeniably obvious fact now that everyone can see just how fast we've deindustrialized since that “free trade” canard became the Holy Grail of the Federal Nobility.
We have 94 million citizens not working.
Actually, everything Trump has said is correct, like it or not.
The funny thing about free trade between nations with disparate standards of living, wage scales, etc. is that the prosperity it brings only seems to work in one direction - towards the country with the lower standard of living.
Last I checked it was Japan. It changes often enough.
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