economy
February 2, 2026
It’s Groundhog Day all over again on free trade
It’s Groundhog Day, and just like in the eponymous 1993 movie, presidents are singing the same tune on trade, over and over.
TL;DR
- Presidents from Trump to Obama have characterized international trade as harmful, leading to job losses and economic decay.
- Historical perspectives, like that of President Truman, warned against protectionism and trade wars.
- Despite negative rhetoric, the U.S. leads in income and wealth, has seen household earnings increase significantly, and has more jobs than ever.
- Trade has benefited Americans through access to goods, job creation in foreign companies operating in the U.S., and increased global demand for American machinery.
- A large portion of U.S. trade involves capital goods and industrial supplies used in domestic manufacturing, boosting efficiency.
- The article suggests that presidents continue to criticize trade because it resonates with a primal belief that external forces cause national problems, making it politically advantageous.
- The author believes this negative narrative about trade is largely unjustified and will persist until a more informed perspective prevails.
Continue reading the original article