Trade Deficit

User Forum Topic
Submitted by FlyerInHi on March 6, 2019 - 10:36am

Foreigners are apparently still ripping us off bigly, more than ever before.

The Commerce Department said Wednesday that — despite more than two years of President Trump’s “America First” policies — the United States last year posted a $891.2 billion merchandise trade deficit, the largest in the nation’s 243-year history.

The trade gap with China also hit a record $419 billion, underscoring the stakes for the president’s bid to reach a deal with Chinese President Xi Jinping as soon as this month.

https://www.washingtonpost.com/business/...

Submitted by The-Shoveler on March 6, 2019 - 11:01am.

The actual $ amount of the defect is not so much the whole issue (and perhaps just a secondary issue to the IP theft)

Sadly our biggest export to them has been soy beans

Submitted by FlyerInHi on March 6, 2019 - 11:49am.

Well, Trumo specifically identified the trade deficit as the issue. He calls it a loss.

The trade deficit with China and Mexico increased so the tariffs didn’t work. Of course we could argue that the deficit would have been even greater without the tariffs.

And USMCA had not yet been ratified so NAFTA is still the law of the land.

Meanwhile we continue to import like never before.

https://www.washingtonpost.com/politics/...

With soybeans and natural gas, the Chinese are giving us preferential treatment. Those are commodities that should be bid on world markets, just like oil. The price should be based on world supply and demand.

Submitted by The-Shoveler on March 6, 2019 - 11:42am.

When they tell us our money is no good, I guess we will need to make our own stuff,

The horror, the horror.

Submitted by The-Shoveler on March 6, 2019 - 12:17pm.

Most of the shouting etc.. is just politics.

Deep down both sides of the aisle really know doing nothing was no longer an option.

Submitted by FlyerInHi on March 6, 2019 - 2:38pm.

The-Shoveler wrote:
Most of the shouting etc.. is just politics.

Deep down both sides of the aisle really know doing nothing was no longer an option.

Seem like an inconsistent statement since you just earlier intimated that we benefit because we trade paper (or electronic) dollars for real physical goods we can use.

Why is that no longer an option? When will our money be “no good”?

Submitted by The-Shoveler on March 6, 2019 - 3:05pm.

I was just mostly kidding (our money no good etc..)

BUT BUT, I truly believe we could shut down all the ports and still live mostly the same standard of living.

It is just because of that, that our money will always be good.

Very very few other countries can say that.

They need us far more than we need them.
If it were not the case they would have stopped paying attention to us long ago.

Submitted by FlyerInHi on March 6, 2019 - 4:35pm.

How will I get my fresh coconut from Thailand?

Consumer choices would be very restricted. But what would be the point unless shutting down trade results in superior standard of living?

Submitted by The-Shoveler on March 6, 2019 - 4:44pm.

The point is not that you would ideally want to do that,
but that you could. (it gives you negotiating power, the power to walk)

Submitted by FlyerInHi on March 6, 2019 - 6:01pm.

The-Shoveler wrote:
The point is not that you would ideally want to do that,
but that you could. (it gives you negotiating power, the power to walk)

I don’t know.....Trump extended the March 1 deadline without receiving anything in return.

So far the trade war is not hurting Chinese exports. It’s hurting American companies’ profits. It’s like a tax that corporations have not fully passed on to consumers. I guess socialism works.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.