I am unsure why anyone would want to change the trade imbalance when you are arguably the richest country on earth. You have a trade imbalance because you are rich and can buy everything you want.
Nobody in onshoring manufacturing with this level of instability in the finances of this country at this time. Trump changes his mind too often to build billions of dollars worth of factories.
The budget deficit is not the trade deficit. You are not taking on debt when you purchase a foreign good, just like you as an individual don't take on debt when you go to Walmart and exchange money for goods but Walmart doesn't buy anything from you.
The US domestic economy is vastly larger than its foreign trade (which is only 20% of America's GDP), so you can in fact run a persistent trade deficit and a budget surplus at the same time, which the US actually did for a while during the 90s and early 2000s. We need to teach more economics honestly.
Sure, but pointing a financial gun at the heads of your creditors will cause them to immediately cease giving you further loans and start selling off the debt they already hold.
This isn’t some analogy.
This is precisely what just happened!
The bond market imploded and less stupid people forced Trump to backpedal.
He’s a child playing with many-trillion-dollar matters. I wouldn’t trust Trump to split a dinner cheque.
Nobody in onshoring manufacturing with this level of instability in the finances of this country at this time. Trump changes his mind too often to build billions of dollars worth of factories.