Worldwide Economic Impact of Increasingly Protectionist US Trade Policy

Many countries are facing the problem of rising protectionism. With the appointment of the new US President Donald Trump, this trend reached a new level. This article quantifies the economic consequences of protectionist aspirations by focusing on the scenarios that have been communicated by the US government as potential trade policies. The results of three simulations - 1. The US withdraws from the North American Free Trade Agreement NAFTA 2. The introduction of a Border Tax Adjustment 3. The USA increases its tariffs - show that neither the USA nor its trade partners stand to benefit from the protectionist measures that the USA is threatening to take.