Nobel Prize-winning financial expert Joseph Stiglitz reveals the destructive concealed expenses of America's trade war, exposing a policy that promised economic strength but provided prevalent damage. Started in 2018, the trade war imposed tariffs on billions in imports, targeting China to restore U.S. industries and minimize trade deficits. Rather, Stiglitz exposes a waterfall of unintended effects: tariffs served as a tax, raising consumer rates by 0.4% every year and costing $40 billion yearly, striking lower-income families hardest. Industries like farming and production suffered, with soybean exports plummeting 50% and 245,000 jobs lost by 2019. Internationally, the trade war isolated the U.S., as China forged new trade alliances and efforts like the RCEP excluded America, eroding its economic impact. Stiglitz warns of long-term threats to innovation, as interrupted supply chains and export controls spurred rivals like China to speed up domestic improvements, risking U.S. management in technology. Socially and politically, the trade war deepened domestic divides and worldwide skepticism, impeding cooperation on important concerns like climate change. Stiglitz advocates for a smarter technique: targeted global agreements, financial investments in education, infrastructure, and R&D, and renewed multilateralism to reconstruct alliances. His critique is a wake-up call to reassess trade as a tool for shared prosperity, not a weapon of economic nationalism. This compelling analysis difficulties policymakers to face the real cost of a war America can not afford to continue, urging a path towards strength and global cooperation.
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