Trade
in sentence
11085 examples of Trade in a sentence
It fixates on country-specific sources of the
trade
deficit, like China and Mexico, but misses the fundamental point that these bilateral deficits are symptoms of America’s far deeper saving problem.
Presume for the moment that the US closes down
trade
with China and Mexico – the first and fourth largest components of the overall
trade
deficit – through a combination of tariffs and other protectionist measures (including the proposed renegotiation of NAFTA and a Mexican-funded border wall).
Without addressing America’s chronic saving shortage, the Chinese and Mexican components of the
trade
deficit would simply be redistributed to other countries – most likely to higher-cost producers.
The US had
trade
deficits with 101 countries in 2015 – a multilateral problem stemming from a saving shortfall that cannot be effectively addressed through country-specific “remedies.”
But it does mean that there is limited hope for resolving seemingly chronic
trade
deficits – and the related erosion of domestic hiring traceable to these imbalances – if the US doesn’t start saving again.
Trump’s senior economic-policy advisers, Peter Navarro and Wilbur Ross (Trump's pick for commerce secretary), argued in a position paper in September that these estimates are flawed, because they don’t take into account “growth-inducing windfalls” from regulatory and energy reforms, or the added bonanza that should arise from a sharp narrowing of America’s
trade
deficit.
Indeed, the Navarro-Ross analysis attributes fully 73% of the growth-inducing revenue windfall of Trumponomics to a massive improvement in the overall
trade
balance over the next decade.
Getting tough on
trade
at a time when national saving is about to come under ever-greater pressure simply doesn’t add up.
That would put renewed pressure on the current-account and
trade
deficits, making it extremely difficult to reverse the loss of jobs and income that politicians are quick to blame on America’s trading partners.
And, of course, there is the worst-case scenario of an escalating global
trade
war.
How to Combat Populist DemagoguesCAMBRIDGE – At a recent conference I attended, I was seated next to a prominent American
trade
policy expert.
He and other
trade
economists had played a big part in selling the agreement to the American public.
“I supported NAFTA because I thought it would pave the way for further
trade
agreements,” my companion explained.
Her campaign promised fair
trade
deals and disavowed support for the Trans-Pacific Partnership (TPP), but was her heart really in it?
For someone like Hillary Clinton, assuming her conversion was real, it could have meant announcing she would no longer take a dime from Wall Street or would not sign another
trade
agreement if elected.
And this implies a willingness to attack many of the establishment’s sacred cows – particularly the free rein given to financial institutions, the bias toward austerity policies, the jaundiced view of government’s role in the economy, the unhindered movement of capital around the world, and the fetishization of international
trade.
SHANGHAI – On the face of it, China and the United States both look as though they would be relatively insulated if
trade
tensions continue to escalate.
Moreover, the McKinsey Global Institute finds that while the world’s exposure to China in terms of trade, technology, and capital increased from 2000 to 2017, China’s exposure to the world peaked in 2007, and has declined ever since.
As recently as 2008, China’s net
trade
surplus accounted for 8% of its GDP; by 2017, it had fallen to 1.7%.
For example, according to a recent OECD analysis, Malaysia, Singapore, and South Korea could lose 0.5-1.5% of GDP each as a result of reduced US-China
trade.
This, in turn, would set back China’s ambitions to be the region’s
trade
anchor.
Not by coincidence, those are the sectors most affected by the current
trade
dispute.
A survey conducted by the American Chamber of Commerce in China reinforces concerns about the impact of escalating
trade
tensions on foreign investment.
Fourth, a reduction in
trade
could sap the reform momentum China needs to iron out the many inefficiencies in its domestic economy.
For example, China’s efforts to position its financial system to manage the risks associated with high debt levels will be sidelined if it is forced to provide more liquidity to the economy to make up for
trade
losses.
And firms in the US would take a direct hit from higher tariffs in trade, given that 77% of China’s exports to the US are intermediary and capital goods used to produce finished products, according to the McKinsey Global
Trade
Database.
One hopes – perhaps against hope – that the 90-day truce on tariff increases lasts, so that an enduring
trade
agreement can be forged.
In the United States, the Federal Reserve hinted at “tapering” its quantitative-easing policy later in the year, and a kind of global carry
trade
based on monetary conditions in advanced countries started to unwind as a result, causing credit tightening and market turbulence in emerging economies.
I have argued, on the other hand, that you could produce semiconductor chips,
trade
them for potato chips, and then munch them while watching TV and becoming a moron.
On the other hand, you could produce potato chips,
trade
them for semiconductor chips that you put into your PC, and become a computer wizard!
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