Janet Yellen says she won’t rule out possible tariffs on China’s green exports – msn/NBC
Donald Trump’s 60% Tariff on Chinese Imports – CRFB
“Former President and current Republican presidential candidate Donald Trump recently proposed implementing a tariff of 60 percent or higher on imports from China. Although we estimate this would generate $2.4 trillion of net new revenue on a static basis, it would ultimately produce far less revenue – or even lose revenue – once changes in trade behavior are taken into account. Specifically, under conventional scoring we estimate it would produce no more than $300 billion over a decade and could lose $50 billion. On a macrodynamic basis, it would likely lose revenue under both scenarios.”
China’s unfair ‘overcapacity’ – Michael Roberts
“The recent nonsense issued by the US Treasury Secretary Janet Yellen on China’s ‘overcapacity’ and ‘unfair subsidies’ to its industries is particularly pathetic. As Renaud Bertrand put it: “the so-called threat of China’s industrial overcapacity” is a buzzword that actually means that China is simply too competitive, and by asking it to address this, what Yellen is truly asking of China is akin to a fellow sprinter asking Usain Bolt to run a less fast because he can’t keep up.” “
Market competition? State-sponsored capitalism? Another case showing economics cannot be separated from politics and policy.