A note from...
Bryan Keogh
Economics + Business Editor
President Trump launched a trade war against China on the premise that only a tough guy stance could fix problems that have long irked American businesses – namely, its subsidies for key industries and the theft of U.S. intellectual property. A few weeks ago, a deal appeared close, seeming to vindicate Trump’s strategy. That optimism has vanished as both countries return to a cycle of recrimination and retaliation, which promises more pain for companies and consumers.
If you’re like me, you’re probably scratching your head and wondering what’s really going on here and how long the conflict is likely to last. So I turned to Greg Wright, an economist at UC Merced who specializes in international trade. He gave me three reasons Trump is struggling to win his trade war and why it’s unlikely to end soon.
An economist explains why the US and Chinese governments are most likely to dig in their heels rather than find a compromise to end the costly trade conflict.
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Karin Limburg, State University of New York College of Environmental Science and Forestry
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