Can anyone explain why countries feel compelled to retaliate to these tariffs, other than "an eye for an eye"? I'm sure there is an economic rationale, but I can't quite grasp it. The risk of a vicious cycle seems high, especially with Trump.
Can anyone explain why countries feel compelled to retaliate to these tariffs, other than "an eye for an eye"? I'm sure there is an economic rationale, but I can't quite grasp it. The risk of a vicious cycle seems high, especially with Trump.
You can never appease a bully. Canada stood up to him and have seen a reduction in the bullying as Trump, where he can't "win" he backs off while pretending he has to protect his ego. If everyone just sucked it up then he'd keep coming back with more blame every time his idiot plans failed.
Sure. I just mean what is the economic rationale of erecting further trade barriers? We (ex-US countries) can't control what they do, but why do we have to retaliate? How does that serve our interests?
It's about the only tool left when someone won't listen. Retaliation will punish US businesses hard, including a whole pile of rich people who fund and put Trump in place. It's a mutual destruction scenario though, but you have to use it with people like Trump, or he'll keep coming back for more.