The first one hundred days after Trump will be overwhelmed, and citizens in vain are waiting for the “golden age of America”. Economic growth has just been corrected down. The Nasdaq Composite index lost 14.3 percent from the inauguration. And he experiences a rollercoaster every day. On crazy days – such as those when Trump threatens China with criminal duties in the amount of over 100 percent. and the release of the head of the central bank – the stock market is falling sharply. On calmer days – when Trump guarantees Jerome Powell to keep his position and announces that the duties towards China will “be significantly reduced” – the courses suddenly soar up again.
Trump's policy is not primarily right -wing or leftist, but above all arbitrary. The American president has gone too far in his pride, notes the “Financial Times”. Here are the four greatest mistakes in the reasoning of Donald Trump.
The US economy is large, but not dominant. 85 percent World trade is dominated by other countries. All American products have their counterparts and substitutes, which are technologically equivalent and often more attractive.
Nobody has to buy Boeing. He can invest in Airbus. The iPhone has competition, and car showrooms can be found noteworthy vehicles that challenge Ford, Jeep and Chrysler's bold challenge.
Today we know that the American commercial balance (with a large deficit) is not a work of demons, but an expression of a decrease in competitiveness.
2. America is more dependent on China than China from America
Trump thought that the high share of exports in the Chinese economy makes this country susceptible to American duties. However, it is the opposite. China is a seller and the US is addicted to import.
In 2024, the United States exported goods and services worth almost $ 200 billion to China. (over PLN 752 billion). However, at the same time, goods and services worth $ 463 billion were imported from China. (over PLN 1 trill PLN 741 billion).
Less export means less income for the Chinese. It's only about money. In turn, for the US, less import means the loss of things that their citizens love and which the economy needs, such as rare lands, necessary drugs, inexpensive semiconductors for the automotive industry.
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If deliveries are interrupted, the US will lose more than just money. There will be real deficiencies in the country, and in export further loss of competitiveness. – The domination in the field of escalation lies with the Chinese – says economist Adam S. Posen.
Having this knowledge, it seems logical that – as “Wall Street Journal” reportsBased on information from the high -ranking official – duties on goods from the PRC will not, however, be so drastically increased, but reduced to approx. 50-65 percent.
3. The president has no control over monetary policy
The head of the Federal Reserve Jerome Powell is the most dangerous opponent of the president, because only the central bank can determine the value of money. To Trump's great dissatisfaction, the Central Bank refuses to support his commercial policy by lowering interest rates.
The real reason why Trump repeatedly threatened Powell's dismissal, but so far he has not taken any action in this direction, there is no doubtful legality of such a move or his catastrophic impact on public opinion, but simply the fact that it will not work.
EPA / SHAWN THEW / PAP
President of the Federal Reserve Jerome Powell, Washington, March 19, 2025.
Decisions regarding interest rates are made by the Federal Open Market Committee, FOMC, consisting of seven members of the FED board and five presidents of regional federal reserve banks. In the case of political intervention, the committee would react with stronger resistance. Probably Trump would then meet with even more problems, not lower interest rates.
4. America is no longer perceived in the West as a “free world leader”
European partners have understood that Trump does not want to be their friend. The European Commission is preparing retaliation. It is discussed all over the world about independence, but not from China, but from America.
It can be assumed that there is a “free world” for the first timeReally free – free from American paternalism. Even the “Financial Times” comments sarcastically: “When America shoots at the foot, America is bleeding.”
End of Pax Americana
In addition to military power, hard strength, America has always had a clear soft power (soft power). Jeans, Rock 'N' Roll and Hollywood were peaceful ambassadors of the American lifestyle. But also organizations such as the International Monetary Fund and the United Nations have secured Pax Americana without the need for tanks.
Pax Americana is over. Trump did not make America a great but lonely. The dominant feeling in the world is not admiration, but pity. Today's America is sitting on the dry straw of its promises.
I’m Ashley Davis as an editor, I’m committed to upholding the highest standards of integrity and accuracy in every piece we publish. My work is driven by curiosity, a passion for truth, and a belief that journalism plays a crucial role in shaping public discourse. I strive to tell stories that not only inform but also inspire action and conversation.
