Sudburyboy1, a big congratulations on upcoming Grandkid #4

To answer your question,

A decade long Trade deficit in the USA is NOT NORMAL.

As written in the report, if things were normal and not manipulated, the usa dollar would weaken and the chinese yaun would strengthen. Then, usa exports would rise and chinese imports would fall.

One way to manipulate the usa dollar is by the purchase of treasuries.

China has been the biggest culprit and the usa has a trade deficit with them.

Also, Japan, Germay, have been buying lots of usa treasuries and the usa has a trade deficit with these countries too.

#2: Mercantilism and Trade Cheating (page 16)

The global trading order is riddled with trade cheaters. Not coincidentally, China is both the biggest trade cheater in the world and that country with which the US runs its largest trade deficit. The elaborate web of unfair trade practices includes illegal export subsidies, the theft of intellectual property, the aforementioned currency manipulation, forced technology transfers and a widespread reliance upon both “sweat shop” labor and pollution havens. The People’s Republic of China also engages in the massive dumping of select products such as aluminum and steel below cost. It is currently dumping over 100 million tons of steel alone into global markets. China is hardly the only cheater in the world; it’s just the biggest. It is fair for countries to benefit competitively from any inherently lower costs. It is unfair to game the system in addition. When countries cheat to boost their exports, reduce their imports, and protect their own markets, trade becomes more of a zero sum game in which the cheating countries enjoy a disproportionate share of any gains from trade. Their economies grow faster and the US economy grows more slowly. A Trump Administration will not tolerate cheating by any nation. If America’s trading partners continue to cheat, a President Trump will use all available means to defend

Tariffs will be used not as an end game but rather as a negotiating tool to encourage our trading partners to cease cheating. If, however, the cheating does not stop, Trump will impose appropriate defensive tariffs to level the playing field for American workers and American manufacturing facilities from such cheating, including tariffs.

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The 31 page pdf link I previously posted shows the utter injustice of what was done...and the portions pasted above show a game plan.

IF the cheating stops ...the usa dollar will follow the normal route which is devaluation so the trade balance can improve itself.

IF the usa devalues than commodity prices will go up..since commodities are priced in usa dollars.

When you read the whole economic policy plan,,, what is scary about it?What isn't fair about it? The only Scary and unfair thing is that it was allowed to happen in the first place!

If Wynne actually read the report...she wouldn't be telling the STAR that she is worried.

Only the cheaters who REFUSE to stop cheating should be worried since the very unfair gravy train is about to slow down for them.