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Trump is back…the “Now What” thread

Bingo.


"India is taking President Trump up on his offer for reciprocal free trade, proposing zero-for-zero tariffs on specific goods like pharmaceuticals, steel, and automobile components.

This has electrified President Trump’s base—the reciprocal tariffs are working! India’s coming to the table!

Sorry to burst your bubble: America will not benefit from free trade with India—or any other Third World country.
The average annual wage in America is $63,000, while the average annual wage in India is just $2,500—the average American earns 25x more than the average Indian. Labor is often the largest input cost for making products, accounting for approximately 30–35% of the cost of American manufacturing—and it’s an even higher proportion in many service industries.

If America and India traded freely, India’s low wages would undercut America’s labor market—either Americans will need to accept lower wages domestically, or the factories will relocate to India to take advantage of dirt-cheap labor."
 
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