DNB-baas Knot: 'Handelsoorlog Trump kent alleen maar verliezers'
but it is just as correct, and probably more so, to say that foreign accumulations of dollars force Americans to consume beyond their means.
Michael Pettis • The Great Rebalancing
This is what his critics do not understand. They mistakenly think that he thinks that his tariffs will reduce America’s trade deficit on their own. He knows they will not. Their utility comes from their capacity to shock foreign central bankers into reducing domestic interest rates. Consequently, the euro, the yen and the renminbi will soften relat... See more
Donald Trump's economic masterplan
The situation is unusual in that it’s entirely in Trump’s hands. The president can usually influence, but rarely control, economic challenges — a bank collapse, a housing bubble, a pandemic. In the current market rout, Trump is the cause. He imposed the tariffs, and he decides when they go.
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Unlike other complex pieces of policy — income tax changes
... See moreIn fact I will argue that excessive use of the U.S. dollar internationally actually forces up either American debt or American unemployment. It is more of a burden for the United States than a privilege.
Michael Pettis • The Great Rebalancing
Miran’s thesis:
The dollar is too strong — and it’s killing American competitiveness.
Why?
• Global demand for short-term U.S. debt
• Reserve currency distortion
• Weaponized dollar system
• Hollowed-out industry
Solution? Reset the game.
The dollar is too strong — and it’s killing American competitiveness.
Why?
• Global demand for short-term U.S. debt
• Reserve currency distortion
• Weaponized dollar system
• Hollowed-out industry
Solution? Reset the game.
Paul Guerra • Tweet
4. Digital Trade War