The downward spiral

Luke Boyle

It's official, Beijing Biden has signed off on $1.9T in deficit spending to further sedate the American economy. Printing money so people can buy Japanese TVs built in China can not stimulate the economy, it can only worsen the already catastrophic trade deficits.

While economics is often abstract, the trade deficit (now eclipsing the all-time high set in 2008) is easily visualised by the queue of 41 container ships waiting to dock (with an average wait time of a week) to deliver consumer goods bought overseas. The demand has become so overwhelming that they have to build new shipping containers in China because they can't afford to wait for the in-flight containers to make the round trip.

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