The New York Fed claims that Trump's tariffs inflicted trillions of dollars in economic harm, but the study fails to consider the overall economic prosperity during the Trump presidency. Tariffs were a necessary correction to address one-sided trade relationships with China.
Key Points
The study fails to consider the overall economic prosperity during the Trump presidency
Tariffs were necessary to address the lopsided U.S.-China trade relationship
Long-term benefits of trade policy recalibration outweighed short-term volatility
Pros
Tariffs forced China to negotiate fair trade terms
Signaled U.S. intolerance for one-sided trade relationships
Led to a recalibration of global trade and supply chains
Cons
Initial disruption and volatility in the stock market
Temporary negative sentiment and uncertainty in markets