, Columnist
Trump’s Trade Policy Failed, But U.S. Economic Policy Didn’t
The Fed and Congress show that good monetary and fiscal policy can make up for a lot.
Without a mask or a relief bill.
Photographer: Win McNamee/Getty ImagesThis article is for subscribers only.
The exploding U.S. trade deficit highlights the extent to which President Donald Trump’s avowed trade policy is a failure. Yet it also stands as proof that, the president notwithstanding, U.S. economic policy is a success.
First, about that failure: It’s a mistake to see these deficit figures by themselves as a rebuke of Trump’s trade policy, which has focused on reducing the bilateral trade deficit with China. The strategy seemed to be bearing some fruit until that progress (if that is the correct term) was wiped out by the pandemic.