By South China Morning Post | Created at 2024-11-15 00:11:33 | Updated at 2024-11-25 07:23:04
1 week ago
Until now, November 5 has been remembered chiefly for the gunpowder plot of 1605, when a group of fanatical Catholics in England tried to blow up the Protestant establishment to bring back “the good old days”.
Future generations in the United States may mark this date for Donald Trump’s stunning presidential election victory, with a similar gambit.
The populist leader stormed to an odds-defying second term on the promise to “Make America Great Again” – and to deliver on that, Trump needs to perform a second miracle.
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Trump is back: what’s next for China, Asia and the world? | Talking Post with Yonden Lhatoo
Trump is back: what’s next for China, Asia and the world? | Talking Post with Yonden Lhatoo
He has pledged to “make America affordable again” and end inflation, a major source of public resentment that wrecked Joe Biden’s and then his deputy Kamala Harris’ election campaign.
At the same time, the former and future president has proposed new 20 per cent tariffs on most foreign products and “at least” 60 per cent for those from China. Trump has also vowed to complete “the biggest mass deportations” of undocumented immigrants in US history.
Classical economists would say these goals are contradictory. Tariffs, by nature, are inflationary and tend to lead to price distortion and lower productivity. These taxes will most likely be passed on to consumers.
Similarly, deporting millions of undocumented immigrants in a country that is at full employment will drive up labour costs.
