Trump’s economic gamble: Solid job gains vs. risky trade war
WASHINGTON (AP) — From the safety of a resilient U.S. economy, President Donald Trump lit the fuse Friday on a high-risk trade war with China.
History suggests that a cycle of tariffs and retaliations can eventually choke economic growth. But for now, employers, investors and U.S. consumers are weighing the perils of a prolonged rift between the world’s two largest economies against a far more positive backdrop: America’s healthiest job market in years.
Evidently confident despite the risks ahead, U.S. employers have added jobs this year at a robust monthly average of 214,500. Many businesses say they’ve reached the point where they can’t even find enough people to fill jobs. Unemployment is at a low 4 percent.
All that hiring is occurring in an economic expansion that is entering its 10th year.