Trump's tax cuts will widen the trade deficit and hurt GDP
Oops. Hey, Whell! ‘Splain this one to those of us who don’t listen to your favorite con artists.
https://finance.yahoo.com/news/trump...151536871.html
Quote:
The U.S. trade deficit in June widened by $3.2 billion and Trump’s own policies could be to blame.
After narrowing for three straight months, the U.S. trade balance with the rest of the world expanded in June to $46.3 billion as exports slowed. Exports rose sharply in prior months as the potential impacts from tariffs imposed by the Trump administration were front-run.
Economists at Barclays see Friday’s report as a harbinger of things to come, as the tax cuts boosting the U.S. economy will continue to grow imports while exports growth is likely to slow as firms deal with the impact of tariffs. Imports subtract from the GDP calculation while exports add to GDP growth.
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