2018-03-01 07:35:00 Thu ET
technology antitrust competition bilateral trade free trade fair trade trade agreement trade surplus trade deficit multilateralism neoliberalism world trade organization regulation public utility current account compliance
Trump imposes high tariffs on steel (25%) and aluminum (10%) in a new trade war with subsequent exemptions for Canada and Mexico. The Trump administration's Trade Act Section 232 investigation suggests that the main sources of U.S. steel-and-aluminum trade deficits are Canada, Europe, Mexico, and China.
In light of both Section 301 and Section 232 investigations, the steel and aluminum tariffs seem to target China and the European Union. There are a pair of pertinent problems with imposing tariffs on foreign imports of this nature. First, the tariff tactic is a massive diplomatic gambit. In effect, this tactic may pose the imminent risk of retaliation from multiple countries. Second, this strategic move can inevitably lead to higher consumer prices from food cans to cars and airplanes insofar as these products involve the use of steel or aluminum. These price increases can thus feed back to fuel higher inflation in America. Also, American households and firms may experience higher costs and so lower disposable income. The resultant decrease in aggregate demand can be detrimental to U.S. economic output, employment, capital investment, and so on. When push comes to shove, the law of inadvertent consequences counsels caution.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2020-03-26 10:31:00 Thursday ET
The unique controversial management style of Steve Jobs helps translate his business acumen into smart product development. Jay Elliot (2012) Leading
2018-10-30 10:41:00 Tuesday ET
Personal finance author Ramit Sethi suggests that it is important to invest in long-term gains instead of paying attention to daily dips and trends. It
2023-08-31 10:22:00 Thursday ET
Government intervention remains a major influence over global trade, finance, and technology. Nowadays, many governments tend to eschew common ownership
2018-10-13 10:44:00 Saturday ET
Dow Jones tumbles 3% or 831 points while NASDAQ tanks 4%, and this negative investor sentiment rips through most European and Asian stock markets in early-O
2025-03-03 04:11:06 Monday ET
Is higher stock market concentration good or bad for Corporate America? In recent years, S&P 500 stock market returns exhibit spectacular concentrati
2018-08-17 11:45:00 Friday ET
In accordance with the extant corporate disclosure rules and requirements, all U.S. public corporations have to report their balance sheets, income statemen