Hey everyone, a renowned U.S. scholar, David Firestein – CEO of the George H. W. Bush Foundation for U.S.-China Relations – has slammed the new tariff policy as a huge economic miscalculation. According to Firestein, the policy has already sent shockwaves through the market, with a dramatic $6 trillion drop in stock market value over just two trading days, a loss comparable only to historic crises like the Great Depression. 😮
Firestein warns that these tariffs could lead to rising consumer prices, increased inflation, and even job losses. U.S. producers may face steeper raw material costs, which could mean lower sales and potential factory layoffs. This move might also weaken the U.S. dollar and heighten the risk of a recession.
Beyond domestic challenges, the policy is seen as a direct challenge to the global trade order. Firestein noted that the new measures could undermine key international trade agreements, including the United States-Mexico-Canada Agreement, thereby disrupting the framework based on comparative advantage that modern commerce relies on.
For young professionals and tech enthusiasts across South and Southeast Asia, these developments are a reminder that global economic trends can influence local job markets, tech investments, and lifestyle choices. In our fast-paced digital world, staying informed about such shifts is more important than ever. 🚀
In summary, what some see as a bold policy move may in fact be a self-inflicted setback with far-reaching consequences. The debate continues as experts closely watch the ripple effects on the global economy.
Reference(s):
U.S. scholar says Trump's tariff policy an enormous economic blunder
cgtn.com
