The global economy is in fear of protectionist trade policies

1/24/2017 0:00

 
Follow-up / Shokran Fatlawi

Almost analysts and commentators, economists, and various global economic and financial institutions agree that "the greatest threat to the global economy this year comes from the protectionist trade policies promised by the new American president, Donald Trump," but that sounds weak rare you see in that conclusion Thuala
Exaggerated, according to a statement to «Sky News} and trade protectionism, is the imposition of taxes and duties on imports of goods and services such as the protection of local producers and suppliers procedures.
Analysts say that Trump's proposals may be Mgalah little sense to charge up to 45 percent on foreign goods and services, and 30 percent of what is produced by American companies outside the United States and marketed by it, but mostly it was a matter of "intimidation" will not be the actual policies are As well.

Dumping duties
It is said that it is not new to especially with regard to its own policies and protection for their industries and their products, where it was during the reign of former President Ronald Reagan's administration and later, the imposition of dumping on steel imports from abroad fee, not much different from what US policy calls
 Trump him.
 It will not go beyond what superimposed first minister of US Treasury, Alexander Hamilton, 200 years ago and was in the range of 10 percent, did not lead those policies to the collapse of the US economy or a recession of the world economy, as some "frightens" the world at the time of the scarecrow protectionism.
It is not intended in the report Maitalq policies of protection and procedures for the imposition of duties and taxes on imports of US market of products and services for the economies of all, that was the most important at the end of the eighteenth century, most recently in the eighties of the last century, but many forget that the trend of globalization is witnessing a negative reaction years ago, and abounded in five years, the recent articles and studies that discuss the negative effects not only on the people "economically disadvantaged", but on the economy
 The world as a whole.

world Trade
And thus, harder to load calls for Trump to take protectionist measures to encourage national industries, is responsible for the expected deterioration in global commerce or the global economy. If we take into account the objective of stimulating the economy by increasing consumer spending and huge infrastructure projects, it would sponsor improving growth rates in the US economy, which may be due to a locomotive for the growth of the global economy even under the protection policies
Commercial.

Columns and constants
He believes that Trump interested in policies that will make the United States of America on the threshold of a new change will change the economic features, and argued that it comes with pillars of the US economy and the constants that are accustomed the world to walk in the shade, which made him the world's largest economy over the past decades.

The dollar's status
 The most prominent of these columns dollar status of an international reserve currency that affect the equation of the petro-dollar bonds and US Treasury with a sovereign rating highest in the world, and the relationship with China, the second largest global economy, and free trade agreements with the countries of the world, the massive employment of immigrants in US
United.

Product diversity
The United States are the most important industrial productions on a global level.
The success of the US industry due to its ability to innovate and lead her technological and product diversity and the presence of qualified labor.

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