Since 2018, protectionism has made its way into global politics. This paper analyzes what has happened since then and the consequences of the trade war between the US and China unleashed by Donald Trump's administration. The trade war is examined from a game-theoretical perspective and furthermore, an assessment regarding future implications is also given.
In 2018, the administration of then-president Donald Trump put tariffs on Chinese products. This has provoked a backlash by the Chinese government in form of tariffs on American products, and following measures and countermeasures conducted by both sides quickly escalated into a trade war. “Trade wars are good, and easy to win”. These were the words president Trump confidently tweeted in March 2018. This paper is going to take a closer look at a situation which turns out to be a lot more complex than this tweet implicates. Trade war between the two biggest economies on earth unsurprisingly has a lot of consequences which are going to be examined in more detail. Furthermore, this paper will show that implications of this conflict exceed economic boundaries.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Theoretical Background
- Literature Review
- Current State of Research
- Research gap
- Political Impact of the Trade War
- Game Theoretical Approach
- Effects of the Trade War...
- Case Study: Huawei
- Outlook.
- Conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper examines the trade war between the USA and China, analyzing the return of protectionist measures and their impact on the global economy. The paper aims to understand the motivations behind the trade dispute, assess the effectiveness of protectionist policies, and discuss potential solutions.
- The return of protectionism in the context of the US-China trade war
- The political and economic implications of protectionist measures
- The effectiveness of protectionist policies in achieving desired outcomes
- The impact of the trade war on global trade and business
- Potential solutions to resolve the trade dispute and mitigate the negative consequences of protectionism
Zusammenfassung der Kapitel (Chapter Summaries)
The first chapter introduces the trade war between the USA and China, providing context and outlining the paper's objectives. The second chapter delves into the theoretical background of the trade war, examining existing literature on protectionism, the current state of research on the US-China trade dispute, and identifying research gaps.
Chapter three explores the political impact of the trade war, analyzing the motivations behind both the USA and China's protectionist measures and assessing their consequences. Chapter four applies game theory to the trade dispute, examining the strategic interactions between the two countries and analyzing the potential outcomes of the trade war. The chapter also includes a case study on Huawei, a Chinese company that has been significantly affected by the trade war.
Schlüsselwörter (Keywords)
The primary keywords and focus topics include the US-China trade war, protectionism, trade dispute, global trade, economic impact, political impact, strategic trade policy, game theory, and Huawei.
- Quote paper
- Steve Kamundi (Author), 2021, The USA and China. The return to protectionism?, Munich, GRIN Verlag, https://www.grin.com/document/1254919
