Trump's strategy on Mexico could be 'dagger at Ohio'
Source: Associated Press
Pan Pylas, Associated Press Updated 12:24 pm, Wednesday, January 18, 2017
DAVOS, Switzerland (AP) President-elect Donald Trump's threats to firms using Mexico as a manufacturing base will be counterproductive and could eventually cost thousands of American jobs, Lawrence Summers, the former U.S. Treasury Secretary, warned Wednesday.
Summers noted that Trump's "rhetoric and announced policies" over Mexico have led to a big fall in the value of the Mexican peso against the dollar.
The peso has fallen almost 20 percent against the dollar to a record low since Trump's victory in November. That makes it even cheaper to invest in Mexico and export goods from there.
"That decline in the peso is a dagger at Ohio; it is a major change in the relative attractiveness of locating production activity in Mexico versus locating it in the American heartland," Summers told a panel at the World Economic Forum in Davos, Switzerland.
Read more: http://www.chron.com/news/world/article/Trump-s-populism-won-t-work-says-former-Treasury-10864820.php
pbmus
(12,422 posts)Wellstone ruled
(34,661 posts)workers in the next few weeks. Dumb Donnie and friends at work once again. BTW,the main hit is a Plant in Ohio.
Angry Dragon
(36,693 posts)How come he never brings that up
perhaps a 300% tariff on these clothes
or burn all Trump clothes
bucolic_frolic
(43,062 posts)now that's demonstrative, very visual
cstanleytech
(26,236 posts)Angry Dragon
(36,693 posts)bucolic_frolic
(43,062 posts)but every protest rally, a bonfire ... shirts, books, whatever else was made
Start scouring your local thrift stores for appropriate items.
TexasBushwhacker
(20,146 posts)It would be awful for the rest of us, but the thing that would actually bring manufacturing jobs back to the US (or keep them here) is for the dollar to weaken. Being the primary exchange currency keeps the value of our dollars artificially high.