THE WASHINGTON POST – When President Trump talks trade, it’s often about fighting to get back the jobs the United States has lost. He focuses on sweeping measures, such as rewriting the free-trade agreement with Canada and Mexico, or new taxes to make imports more expensive and boost competing American goods.
The bold actions Trump has proposed could succeed in preserving jobs or bringing them back to American shores. However, they could also end up having unintended negative consequences, economists say. Barriers to imports, for example, could cut into the profits of American manufacturers by raising prices on parts and supplies. They could spark retaliation from other countries and even a harmful trade war, where countries take turns hiking restrictions to undercut each other’s goods and services, raising prices for consumers in the process.