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.
2019-10-17 08:35:00 Thursday ET

The European Central Bank expects to further reduce negative interest rates with new quantitative government bond purchases. The ECB commits to further cutt
2017-11-17 09:42:00 Friday ET

The Trump administration garners congressional support from both Senate and the House of Representatives to pass the $1.5 trillion tax overhaul (Tax Cuts &a
2017-11-19 08:37:00 Sunday ET

In 2000, a former law professor at Harvard proposed establishing the Financial Product Safety Commission in order to protect consumer rights in the provisio
2019-02-06 10:36:49 Wednesday ET

President Trump delivers his second state-of-the-union address to U.S. Congress. Several key themes emerge from this presidential address. First, President
2017-04-07 15:34:00 Friday ET

Would you rather receive $1,000 each day for one month or a magic penny that doubles each day over the same month? At first glance, this counterintuitive
2017-12-01 06:30:00 Friday ET

Dr Kai-Fu Lee praises China as the next epicenter of artificial intelligence, smart data analysis, and robotic automation. With prior IT careers at Apple, M