If you look at the global trade balance, most economies are essentially relying on persistently heavy trade surpluses for growth. Their domestic consumption is too weak, so instead they focus on exporting to foreign markets. And right now, the only country that is both large enough and willing to do is the USA.
That's why it's actually alot worse if it's everyone doing it, because since the majority of them are exporters, someone or many will have to take on a massive trade deficit to balance the exports. Too many sellers, not enough buyers. No one is willing to do that, and so to that extent it's important to realise that the exceptionalism of Trumpian protectionism is something that these countries perform on a day to day basis!
Nor is this system paticularly stable, with the US running a persistent current account deficit and ballooning debt as a result of it, yet the glut of foreign capital inflows and the resulting overfinancialization of the economy means that the dollar remains strong as opposed to weak and is unable to naturally rebalance.
America has been prodding these countries to reform and transition to consumption based economies like them for decades, but they haven't been doing so, so unfortunately the gravy train is over and the beggar thy neighbor policies will commence.
That's why it's actually alot worse if it's everyone doing it, because since the majority of them are exporters, someone or many will have to take on a massive trade deficit to balance the exports. Too many sellers, not enough buyers. No one is willing to do that, and so to that extent it's important to realise that the exceptionalism of Trumpian protectionism is something that these countries perform on a day to day basis!
Nor is this system paticularly stable, with the US running a persistent current account deficit and ballooning debt as a result of it, yet the glut of foreign capital inflows and the resulting overfinancialization of the economy means that the dollar remains strong as opposed to weak and is unable to naturally rebalance.
America has been prodding these countries to reform and transition to consumption based economies like them for decades, but they haven't been doing so, so unfortunately the gravy train is over and the beggar thy neighbor policies will commence.