Trump and Biden’s Secret Consensus
TL/DR –
The 2024 presidential election is being positioned as a rematch between President Biden and former President Trump, with both candidates displaying hostility toward America’s longstanding international trade policy. Trump, in his first term, imposed a $300 billion tariff on Chinese goods, a policy that has remained largely intact under the Biden administration. Biden has also passed legislation detrimental to free trade and has politically opposed a mutually beneficial trade deal between U.S. and Japanese steel companies, further supporting the argument that both candidates are leaning toward protectionist policies.
Biden and Trump: Shared Protectionist Policies in 2024 Presidential Race
The 2024 presidential race is already underway between President Biden and former President Trump. As both candidates gear up, voters are taking a fresh look at their stances on key issues such as immigration, healthcare, and foreign policy. But a surprisingly shared element has emerged in both campaigns: a hostility towards the traditional U.S. international trade policy.
Despite the economic advantages that free trade brings, both Trump and Biden seem to oppose it. Free trade allows the U.S. to sell goods at a competitive advantage, while also purchasing goods from other countries at lower prices. However, Trump’s imposition of a $300 billion tariff on Chinese goods, which Biden has largely maintained, demonstrates their mutual disapproval of free trade.
Impact of Trade Restrictions and Economic Liberty
Trade restrictions, such as the ones imposed by Trump and sustained by Biden, inevitably raise American prices and slow local production. The cost burden mainly falls on American consumers. Similarly, Biden’s signature achievements, the Inflation Reduction Act (IRA) and the CHIPS Act, have significant implications for free trade and the U.S. workforce.
A new study suggests that the IRA could sharply increase the deficit, while the CHIPS Act is tangled in ideological debates, directing billions in subsidies to wealthy firms. Furthermore, Biden’s recent intervention in the sale of U.S. Steel to Japanese-basedNippon Steel has raised concerns about economic liberty.
Preserving Economic Prosperity and Free Enterprise
While Biden claims to protect democracy, it is equally crucial to ensure that the U.S. economy remains a free enterprise system that can generate prosperity without excessive government regulation. However, the current economic conditions are less favorable. Despite a 65 percent decline in China’s economy and a 3.2 percent growth in the U.S. economy, the signs point towards an impending economic recession.
According to a 2022 survey, only 21 percent of Americans view our free enterprise system positively. The future of America’s economy depends on a collective agreement on the importance of our capitalist system and trade policy. Voters must urge Trump and Biden to abandon harmful protectionist policies and champion free trade.
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