Economics Dept and CROWE presents:
Category Archives: Trade Policy
Guest Contribution: “On the time-varying impact of China’s bilateral political relations on its trading partners: “doux commerce” or “trade follows the flag”?”
Today we are pleased to present a guest contribution by Jamel Saadaoui (University of Strasbourg).
Trends in German Trade on the Eve of World War I
One shouldn’t just say increasing (or decreasing) trade between potential adversaries predicts something.
Musings on Economic Policies in a Trump Second Term
We don’t know much, but we know tax cuts and tariffs are on the agenda. I suppose that, while he might not execute the Fed Chair (that’s reserved for a select few), he is likely to try to otherwise eject him/her if policy is not to his liking.
Guest Contribution: “Naomi Klein’s Brand”
Today, we present a guest post written by Jeffrey Frankel, Harpel Professor at Harvard’s Kennedy School of Government, and formerly a member of the White House Council of Economic Advisers. A shorter version appeared at Project Syndicate.
World Trade Volume Stalls
The Dutch CBP tallies world trade volumes. Here’s the total world trade series, compared to total industrial production (production weighted), since 2000.
The Return of the Economic Undead
One shows that they are economic fraudsters over and over, with discredited ideas, but they keep on coming back. From WaPo:
…his top economic advisers … to map out a trade-focused economic plan for his presidential bid…. including former senior White House officials Larry Kudlow and Brooke Rollins, as well as outside advisers Stephen Moore and former House speaker Newt Gingrich…
Douglas Irwin: “The Return of Industrial Policy”
From an Finance and Development (June) article, by Douglas Irwin (Dartmouth), author of Clashing over Commerce: A History of U.S. Trade Policy (University of Chicago Press, 2017), Free Trade under Fire (Princeton), and currently President of the Economic History Association.
Event: “Managing the U.S.-China Trade and Technology Conflict: Is There a Better Way?”
A CMU-UW Madison-Columbia U-Rand zoom event on “Managing the US-China Trade and Technology Conflict: Is There a Better Way?” (April 17th) with experts (some of whom are coauthors, colleagues, and friends of mine).
“So China is now paying us billions of dollars in tariffs”
That’s economist Trump in 2018, as cited in Coy (2018). Now, from USITC “Economic Impact of Section 232 and 301 Tariffs on U.S. Industries” (page 22), a conflicting assessment.
The Commission’s econometric model estimates that tariffs under sections 232 and 301 resulted in a nearly one-to-one increase in prices of U.S. imports following the tariffs. This implies that a 10 percent ad valorem tariff raised the price of U.S. imports from China by about 10 percent. This nearly complete pass-through (meaning that prices received by exporters were largely unaffected and prices paid by U.S. importers increased by the same amount as the tariffs) is unusual but has been similarly found by other recent studies, which conclude that U.S. importers have borne almost the full burden of section 301 tariffs.