Is A US-China Trade Deal Coming Anytime Soon?
The United States and China have been fighting a trade war for over a year. The two countries have conducted several rounds of talks. However, all the talks have so far ended in an impasse. This is in spite of the gain from specialization and international trade on the basis on comparative advantage. Individuals who wish to understand the benefits and costs of international trade can sign up for economics tuition with a good economics tutor. However, this may or may not be an easy task depending on the place which the individuals reside. In Singapore, there are a large number of economics tuition centres located across the city state and therefore it is easy to find a good economics tutor. The question is, is a US-China trade deal coming anytime soon?
Economic Consideration Of The Trump Administration
The Trump Administration, or at least Donald Trump, thinks that it is easy to win a trade war with China. This is a foolish idea as Donald Trump has come to realise it in a painful way. If you consult any economist or experienced economics tutor with a reputable economics tuition centre, you will hear from them that there is no winner in a trade war. A trade war, regardless of the nature, will lead to a lose-lose situation as no country can gain from a trade war. That said, based the belief of the Trump Administration, they are not afraid of the US-China trade war dragging on as they are confident that they will emerge as the winner which will give the United States a much needed boost in the international stage. Furthermore, the Trump Administration believes that if the US-China trade war drags on, it will hurt the Chinese economy substantially more than the US economy. Therefore, a US-China trade deal is unlikely to come anytime soon. If you are interested in learning more about the US-China trade war, specifically how it will affect the two largest economies in the world and the rest of the world, you may engage an economics tutor who provides individual economics tuition. The reason for the recommendation of individual economics tuition is that for cases like this, it is rather difficult to find an economics tutor who teaches in a group setting.
Political Consideration Of The Trump Administration
The US presidential election is coming in a year’s time. Over the last three years, Donald Trump has been trying very hard to project a tough image to the American people, especially his stance towards China. The results are mixed. Although some Americans view Donald Trump as a tough leader, others consider him an opportunist. Donald Trump had never been a politician before he became the president. However, his experience as a real estate mogul has helped him in his presidency in some ways, both good and bad. Although the US economy is currently pretty robust with the unemployment at an all-time low of 3.5 percent, any economics tutor will tell you that the state of the US economy has little to do with the economic policies of Donald Trump. Rather, it is a result of years of economic recovery which started in the second term of the presidency of Barack Obama. One can sign up for economics tuition to learn the policies which can be used to increase economic growth and this include expansionary fiscal policy and expansionary monetary policy. However, any political analyst will tell you that Donald Trump has not achieved much success in politics as his job approval rate is only about 40 percent. Unless Donald Trump increases his job approval rate, his chances of winning re-election will be slim. Given the circumstances, his best chance of increasing his job approval rate to continue his apparent tough stance towards China. This is the second reason why a US-China trade deal is unlikely to come anytime soon.
Brandon Tan
Economics Tuition Singapore @ Economics Cafe
Principal Economics Tutor: Mr. Edmund Quek