Trump’s Tariff Bizarreness

Canadian economist David Rosenberg gave a good summary last week of how little Donald Trump understands about tariffs. ¹

David Cay Johnson, one of the most knowledgeable journalists and scholars about Donald Trump, explains among other things about how Trump is clueless about issues like how the dollar functions as the world’s reserve currency and why that’s a power advantage for the United States. And also how clueless he is about other things, as well.²

Johnson also wrote about these topics in DCReport, including this illustration of how significant it is that the dollar functions as the world’s reserve currency³:

Trump’s radical, crackpot economic policies will almost certainly boost China’s relative power in the world, as Johnston explains:

China’s patient but persistent drive to lead trade and economic policy, as well as exert military power, in Asia and Oceana is likely to grow, especially since Trump in his first term withdrew the U.S. from the proposed Trans-Pacific Partnership trading zone (parts of which I criticized here, here, and here as damaging personal liberty, discouraging competitive market capitalism, and expanding corporate power). …

The rest of the world could join China in reducing purchases of American farm products from beef and corn to poultry and soybeans. Trump’s first term caused a massive shift in soybean sales to China. Midwest farmers lost out to Brazil and that business hasn’t come back. Trump covered that over with billions (note that B) in subsidies. During Trump’s first term these subsidies nearly tripled from $11.5 billion to $32 billion.

1. Economist David Rosenberg on Trump admin: 'These people don't understand what a tariff is'. BNN Bloomberg 04/03/2025. (Accessed: 2025-04-04).

2. Trump Open to Hot War With Iran and Tariffs Damaging the World, Prof. David Cay Johnston. The Mark Thompson Show YouTube channel 04/09/2025. (Accessed: 2025-09-04).

3. Johnston, David Cay (2025): All The Damage Trump’s Tariffs Are Doing. DCReport 04/08/2025. <https://www.dcreport.org/2025/04/08/all-the-damage-trumps-tariffs-are-doing/> (Accessed: 2025-09-04).