So rather than World War 3 has Donald Trump started an economic war and how has he done this and why? Well in simple terms he does not like the fact that US tends to buy more goods and services from other countries than other countries buy from the US. Secondly because he is a moron willing to do as yet incalculable damage to the global economy in the name of the USA and Trumpism Economics (whatever they might be) by raising tariffs against other countries across the globe that are looking to sell their goods and services to the US. A tarrif is a tax added to imported goods. Trump has done this for a variety of reasons such as A) he does not like a country that boarders his attitude to emigration and so wacked a tariff on, or B) because a countries goods and service are simply better or more competitive on the global market so he hits a tax on those too. Or finally C) where there are taxes already charged to US goods in the way of such as in the UK where nearly all goods and services including its own are charged VAT (value added tax) as an income stream for the UK. So Trump is adding this 20% tax to all goods imported from the UK too.
Trumps Tariffs might make the US a considerable amount of taxable income in the short term but it will increase inflation and prices to US citizens as well as other citizens across the globe and as yet in world history I am not sure if anyone has won a trade war it just tends to unnecessarily hurt those countries and citizens of those countries that get caught up in it.
Ultimately Trump is detonating an economic bomb simply because he can.
Welcome to Huwspace 