Andres Villasco, Dean of the College of Public Policy, London Economy College, said that it is unlikely to review Andres Velasco, Dean of the College of Public Policy, London College of Economics, noting that the customs tariff imposed by the United States under President Donald Trump on imports from other countries cannot be a solution to fears of jobs and trade.
In interaction with Bt On the sidelines of the economic cotllia, Velasco, a former financial minister in Chile, indicated that although trade is generally desirable, benefits and costs are distributed in various ways across countries. He said this was also emphasized in the consensus of London, with 54 other economists who formulated a new economic consensus of the twenty -first century.
He said: “For countries like India, the integration into the global economy was positive, and we should not feel confused … The anti -employment movement in a handful of developed countries.”
He also emphasized that the Trump tariff is applied for political reasons, not economic reasons. “Second, regardless of concerns that it may be about the impact of trade on jobs in the United States, Trump’s tariff is not the answer. It is applying for political reasons, not economic. It is volatile, unpredictable, and it is very likely that each of the law is illegal under American and international law.
The United States only represents about 14 % of global trade, and the tariff indicates that there will be a more intense trade throughout the emerging and developing countries and the European Union, adding that “people who say that the World Trade era has ended.”
It is unlikely that international trade will be retracted because it benefits many people, especially those in low -income groups. However, the American definitions are likely to say.
“… it is clear that once a tariff is created, it is difficult to retract it. I am thinking, especially here, for at least two reasons, one of them generates revenues, and in a country where debts are more than 100 % of GDP, the additional revenues are important. It is difficult to justify them on economic grounds, the retreat of the upcoming administration in the United States will not be easy, and this is exactly the reason why we should feel Anxiety.
In the future of future growth in India, he said that many will depend on the global circumstances, but he stressed that the world needs to do India with a good job.
“The world needs India to do a good job. India is a democratic country. India is a country that supports the values of freedom and respect, and therefore, India is a very valuable player in global affairs. India has already a good job, and starts with reforms in the early 1990s. This is not something that started yesterday, but there was something that has happened several decades ago, and I think there is a lot of way for the country to do so.”
However, the path of East Asian countries, which has grown very quickly by relying on intensive manufacturers in employment may be a difficult model for India to follow up and build their services.
“This model of very rapid growth is difficult to invent today, not only because the United States and other countries are more closed, but simply because there is no big way to expand the manufacturers of low technology, so India grows on a continuous basis.”
He said that India is particularly strong in services, and it may become stronger in services, he said, indicates that there are different services from banking and professional services to transportation. They also have an advantage over manufacturing that it is very intense. He said that this is the key in a country with a population like India, which confirms that continuous growth can be achieved for India, but it will take to do the same things as it was in the past, but doing new things in the future.
He also said that the possibility of creating manufacturing jobs, whether in India or anywhere else, is much limited to what it was in the past. Velasco said this is something that President Trump has not yet understood, adding that regardless of the customs tariff he applied, employment in the United States will not rise.
https://akm-img-a-in.tosshub.com/businesstoday/images/story/202510/68e35f7a87c98-trump-tariffs-are-not-the-answer–says-economist-andrs-velasco-061932129-16×9.jpg
Source link