Wednesday, June 22, 2016

Trump’s Pro-Growth Path to Victory

Trump’s Pro-Growth Path to Victory - WSJ:
"Can Donald Trump make America grow again?
His record-breaking number of GOP primary voters—more than 13 million—seem to think so.
And Americans overall strongly prefer Mr. Trump over Hillary Clinton on the economy, and on employment and jobs, according to Gallup’s latest polling.
...Yet consider the potentially axiom-breaking speed and magnitude of the rise of U.S. trade with China after China’s entry into the World Trade Organization in 2001.
By 2015, compared with 2000, American trade with China (adjusted for inflation) almost tripled to a $577 billion annual rate, and now represents 3.2% of U.S. gross domestic product.
...Since 2000—the last year before the great expansion of U.S. trade with China began—real per capita U.S. annual GDP growth has fallen, on average, to less than 1%.
In the five years before 2000, growth averaged more than 3%. 
We can’t blame the Great Recession for this dismal “new normal”—it began right after 2000 when trade with China took off, not in 2008 when Lehman Brothers failed..."
Read on!

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