America once attracted the world’s talent, but Mr. Trump’s hostility is driving people away. If he pulls the U.S. out of Nafta, even financial markets might recognize that his economic isolationism poses a risk to growth.
True competitors honestly assess their weaknesses, adapt and then grow stronger. Those are the qualities that made America great. This will be the year that trade policy could define Trump’s fearful America.
My Mercatus Center colleague Dan Griswold explains that America’s trade deficit is good news . A slice (which nicely highlights Trump’s profound ignorance about trade):
It is inconsistent for the administration to both complain about the trade deficit and champion the inflow of foreign investment to the United States. Two are inextricably linked.