A recent report by the IMF predicts overall strong trade growth in major world economies in 2018. However, one area of concern for them was in President Trump's recent policies. The report never mentioned him by name, but it nonetheless warned of the growing likelihood of a trade war between the US and China. His recent tax cuts were also a cause for concern, as the IMF predicts that this could cause inflation within the United States. These outside warnings will likely fall on deaf ears, however, as Trump is known for his strong disdain of international organizations and his stubbornness.
Source: https://www.nytimes.com/2018/04/17/us/politics/imf-global-economy-interest-rates-inflation.html?hpw&rref=politics&action=click&pgtype=Homepage&module=well-region®ion=bottom-well&WT.nav=bottom-well
1 comment:
Personally, I believe that a trade war will not occur, as both countries know the ramifications of what would occur if that happened. Given that they are two of the largest economies in the world, a trade war between them could result in countries all across the globe. As for inflation, only time will tell if that claim with become true.
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