Trump must offer more than symbolic steps on trade

“…In the primaries and general election counties heavily impacted by Chinese imports swung to Trump—right past establishment candidates Jeb Bush, Marco Rubio, other Republicans and ultimately Hillary Clinton who are big supporters of the World Trade Organization and other global institutions.

Lax enforcement permits China to frustrate American exports and flood our markets with products benefiting from high tariffs and regulatory preferences, subsidies and according to World Bank purchasing power parity estimates, a currency trading at half the value it would be worth without its plethora of restrictions on the free flow of goods and capital.

As anyone who has studied modern international economics knows, free trade will deliver its manifest benefits only if exports are about as much as imports and full employment is reasonably maintained.”

Share