President Trump keeps on mentioning the surpluses or deficits that we have with specific trading partners. Recently he mentioned Norway’s prime minister that the US has a surplus with that country. He is disturbed with the deficit the US has with Mexico. NAFTA negotiations are in danger as the US proposes unilateral terms that won’t be accepted by either Canada or Mexico.
Trump has threatened outright protectionism – tariffs or taxes reducing the flow of trade in order to erase deficits or increase surpluses.
Here is the problem with US protectionism: [Read more…] about Trump’s Protectionist Threat is a Threat to the US Economy