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Artículos sobre Trade deficit

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The components of an iPhone add up to a different cost than the phone itself. Poravute Siriphiroon/Shutterstock.com

The guts of an Apple iPhone show exactly what Trump gets wrong about trade

Trump believes the money Americans spend on Chinese imports like the iPhone goes straight into China’s pockets. In reality, China gets very little value from it.
The trade deficit, and how much a country exports or imports, is only part of the story. AP Photo/Reed Saxon

Why trade deficits aren’t so bad

Americans seem to believe trade deficits are a bad thing, partly because of arguments suggesting they mean the US is ‘losing.’ An economist explains why that’s rubbish.
The financial system is awash with money, which is why interest rates have been so low for so long. (Shutterstock)

How banks have set a trap for the U.S. Fed by creating money

It’s been 10 years since the U.S. signed into law a scheme to print money, essentially, and save the financial sector amid the sub-prime mortgage meltdown. Did it work? And who’s truly benefitted?
Kentucky bourbon is among the products targeted with retaliatory tariffs by the EU. AP Photo/Jeff Chiu

Why trade wars can be perilous: 5 essential reads

Trump has started a trade war with China and much of the world. Here’s what you need to know.
CEO Tim Cook built Apple’s vast supply chain, which stretches from China to Europe. Reuters/John Gress

We estimate China only makes $8.46 from an iPhone – and that’s why Trump’s trade war is futile

The president launched a trade war largely on the premise of a massive trade deficit with China. A closer look at the iPhone shows why he’s wrong.
U.S. President Donald Trump, seen here in a February 2018 photo, has a beef with trade deficits. Yet running trade deficits with Asian countries has long spurred American spending and consumption. (AP Photo/Evan Vucci)

Donald Trump’s misguided aversion to trade deficits

Donald Trump’s obsession with trade deficits, and his subsequent wielding of the tariff big guns, is the absolute wrong approach for the U.S. economy.

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