The Commerce Department’s Census Bureau on Thursday reported that the international trade in goods increased by about 11% in May as exports decreased while imports remained relatively unchanged.
Bucket empties of water despite large holes in the bottom.
Because that’s not how trade works…idiots.
despitebecause ofFTFY.
*Because of
If Newsweek reported that the sky was blue, I’d walk outside and check it myself.
When other countries find you insufferable to deal with and reduce trade, deficits happen.
The trade deficit is largely a byproduct of the financial account surplus. Basically, we borrow so much money that the only way to balance things out is to import goods/services.
Really if anything its just because we are a service based economy primarily. We dont manufacture much here other than two types of things: 1) specialized goods and commodities that fetch a high enough price to make paying American labor rates worthwhile; oil products, cars, complex electronics, airplanes, etc. and 2) very inexpensive things that would be a pain in the ass to manufacture millions of and then ship all the way here, like plastic containers and shit like that. And those manufacturing processes dont often involve a ton of people, like building cars or whatever.
So since we make hardly anything here compared to what we consume, we have no choice but to import a ton of stuff. Tariffs were never going to solve that issue.
If anyone with half a brain wanted to level out our trade deficit then they would have duly supported the manufacture and export goods that it actually makes financial sense for us to produce here. Even with tariffs, the economics of the situation wasnt going to push Levi’s to open an American jeans factory. For that to happen jeans would have to be so expensive no one would be buying them anyways
