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What's Protectionism?: Outline
What's Protectionism?: Outline
emphasizing the controversial nature of the topic at hand. Your opening paragraph should, as this paper
attests to, be a brief summary of the current perception held towards the status quo. It should state the
problem and express why it is significant.
1. Outline
A trade war is an economic conflict resulting from extreme protectionism in which states raise or create
tariffs or other trade barriers against each other in response to trade barriers created by the other party.
Trade war is happening and effect nations. Trade war is similar also by placing tarrifs.
For example. The President of US has placed tariffs on billions of dollars' worth of goods from
around the world, in particular China.
It is said also that Mr Trump also wants to cut the trade deficit with China.Trade deficit is
a difference between how much your country buys from another country , compare with
how much you sell to that country. And In fact , US seems feel that the percentage of
consuming goods is much higher than selling goods to China , so Donald Thrump
decided to tackle this unfair trade practices and become the one who firmly disagree on
unfair trade practices.
On March 26, 2018, the Trump administration began quietly negotiating with
Chinese trade officials. The administration focused on three requests. It would
like China to reduce its tariffs on U.S. automobiles, It wants China to import more
U.S. semiconductors, American companies also want greater access to China’s
financial sector.
What's protectionism?
Protectionism is trying to use restrictions such as tariffs to boost your country's industry,
and shield it from foreign competition.
In theory, taxing foreign steel and aluminium will mean US companies will buy local
steel instead.
The thinking is that will boost the US steel and aluminium industries, as more
companies will want to buy their goods.
Steel and aluminium prices will go up in the US because there will be less of these
goods coming in from abroad - so the greater demand for local steel will push up the
price, lifting profits for steel makers.
US steel makers could get a boost - demand will drive new hires and bigger profits.
But the US companies that need raw materials, like car and aeroplane makers, will see
their costs rise.
That means companies are less likely to buy local products. Why buy domestic when
you can get more, cheaper, from a different country?
This means the loss of jobs in wealthier countries, and uneven growth - while free trade
has made some people richer, it's made others poorer.
But in doing so, he's ignoring the amount of services the US exported in 2017, which
totalled $242.7bn.
Discounting that contribution to US trade ignores a significant part of what makes the
US economy tick.
This is why most economists agree that the US trade deficit in 2017 was $566bn
(£410bn).
Like many developed economies, the US has shifted over the past century from an
economy primarily focused on manufacturing goods to one that is primarily composed of
services. The service sector accounts for 90 million US jobs and 80% of US economic
activity, according to the Bureau of Economic Analysis.
The biggest US service exports were travel and tourism, financial services like banking,
and environmental services.
Over the past ten years, the US has run an annual trade deficit with China that's hovered between
$200bn and $300bn.
A big reason President Trump has pursued these tariffs is his desire to appeal to
manufacturing workers in Democratic swing states like Ohio. He has specifically
said he wants to see the US return to being a country that "makes" goods.
In the past, he's cited statistics that he says indicate that poor trade policies have
hurt the US manufacturing sector overall.
For instance, in a tweet earlier in the week President Trump said that since
President George H.W. Bush came into office in 1989, the US has lost 55,000
factories and six million manufacturing jobs.
Alasan utama Presiden Trump mengejar tarif ini adalah keinginannya untuk
menarik pekerja manufaktur di negara bagian Demokrat seperti Ohio. Dia secara
khusus mengatakan dia ingin melihat AS kembali menjadi negara yang
"membuat" barang.
Di masa lalu, ia mengutip statistik yang katanya mengindikasikan bahwa
kebijakan perdagangan yang buruk telah merusak sektor manufaktur AS secara
keseluruhan.
Namun, perusahaan dapat mencakup apa saja dari pabrik tradisional hingga
sesuatu seperti toko roti atau toko permen, sehingga sulit untuk secara definitif
mengatakan jika lebih dari 70.000 pabrik hilang dalam dekade-dekade berikutnya.
Sebagian dari penurunan ini tentu saja disebabkan oleh praktik perdagangan yang
tidak adil - tetapi sebagian besar dapat disebabkan oleh otomatisasi, yang telah
mengakibatkan lebih sedikit pekerja di lantai pabrik.