The Cap-and-Trade Solution to Our Trade Dispute With China
Warren Buffett’s Three-Decade-Old Plan Could Finally Be the Right Idea
President-elect Trump’s criticism of our trading relationship with China and our trade deficit with that nation has produced predictable reactions. Economists warn against “protectionism” and the dangers of trade wars. Alarmed diplomats remind us of the American interest in maintaining good relations with China to deal with such matters as North Korea’s threatening behavior.
These reactions are predictable because we have heard them all before. Back in the 1980s, the trade villain de jour was Japan. (China was just emerging into world markets.) Proposals to address trade deficits with Japan …