The question I pose above came out of this piece I posted in today’s WaPo on confusion in the Trump camp about trade deals and trade deficits: To hear President-elect Trump tell it, ripping up, repealing or renegotiating international trade deals will bring back lost factory jobs and restore the glory days of the American working… Read more
I’ve been meaning to write about this but Neil Irwin beat me to it, so let me add a few points to Neil’s fine piece, along with a bit of data. As the figure below shows, since the day before Donald Trump become the president-elect, the Wall St. Journal’s dollar index is up about 4… Read more
Over at the WaPo today, I’ve got a piece that looks at a key contributor to our large and economically distorting trade deficits: savings gluts in East Asian countries. Riffing off of an important new paper by economist Brad Setser, I argue that as long as these countries suppress spending relative to savings, it will… Read more
Over at the WaPo, Greg Sargent posts a video of Donald Trump answering a question from someone who’s a college grad without a job: “I recently graduated magna cum laude with a BS in chemistry and I’m having a lot of trouble finding a job. What’s your plan to bring jobs back to America?” Greg… Read more
On taxes, Trump’s big operating losses provide a useful microcosm of how the tax system is rigged, if you can call an almost billion dollar claim against future tax liabilities in 1995 “micro.” On trade, here’s what a “smart, fair” agenda looks like to me.