After President Trump announced his plan to institute a 25 percent tariff on steel imports and a 10 percent tariff on aluminum, the Dow dropped 420 points. Despite warning from economists, Trump doubled down on his decision in a tweet in which he claimed: "trade wars are good, and easy to win."
When a country (USA) is losing many billions of dollars on trade with virtually every country it does business with, trade wars are good, and easy to win. Example, when we are down $100 billion with a certain country and they get cute, don’t trade anymore-we win big. It’s easy!
Even conservatives argue trade wars are objectively bad.
There is no connection between trade deficits and economic power or growth. And trade wars raise prices, which is why they are stupid. “Winning” a trade war does not involve you getting richer. This is just asinine. https://t.co/L3s8HuY5ki