Sooner or later, the dollar will indeed crash - but it won't be because of "trade deficits." It will be because the budget deficits that no one in Washington - with a couple exceptions - wants to do anything about.

"Trade deficits" are neither good nor bad. If you think about it, you have a trade deficit with your gas station, your grocery store, and your favorite restaurant. You're paying them with dollars, but they sure aren't giving you many dollars in return. There's nothing wrong with this - unless you are spending more than you earn. And even in that case, the fault is you, not the stores. Is your gas station at fault because they sell you gas, but don't buy anything from you? Of course not.

Is trump waging this trade war to get China to agree to a tariff-free agreement, like he says he is with Europe? I sure hope so, but I'm not real optimistic.

Onward and upward,
airforce