Donald Trump’s tariffs to boost jobs, wages and the US economy, finance professor says

Donald Trump is coming to power very soon in the United States, following his inauguration ceremony at the US Capitol in Washington DC. Reportedly, his first order of business could be the imposing of ‘Trump tariffs‘ on China, Canada and Mexico, in a bid to save the local industries of US.

Will Trump tariffs affect the US economy badly?

However, there are strong fears of inflation once his decision gets the green light, feel many economists and market experts. Many are also of the opinion that the imposition of these tariffs could have a direct impact on the US stock market, and could even halt the massive bull run at Wall Street, that has been going on for the better part of the last two years.

Finance professor counters claims of US economy getting doomed under Trump’s second term

However, a veteran finance professor Michael Pettis of the Peking University’s Guanghua School of Management is of the opinion that Trump tariffs could help in the long run by generating employment and raise wage standards in the United States.

Pettis, who is also a nonresident senior fellow at the Carnegie Endowment for International Peace, claims that Trump tariffs would ultimately be good for the US economy, and not such a big ‘doom’ as market experts are claiming.

Trump tariffs to raise living standards, says Prof

Pettis argued that the current US economy is much different from the one seen in the 1930, which got crushed after the imposition of some controversial tariffs back then. Trump tariffs could increase employment and wages in the United States, raising living standards and a direct growth of the economy, feels Pettis, according to a Fortune report.

FAQs:

Will Trump tariffs halt GDP growth in the US?
There are chances that Trump tariffs may bring a sudden change in a negative way around the US GDP, which could end up being quite adverse for the national economy, feel economic experts.Is Donald Trump going to impose tariffs on Canada?
Donald Trump is reportedly planning on imposing tariffs on Canada based on the country’s inability to stop illegal immigration into the US, or control drug smuggling across the border regions.