Assuming that global international trade sharply declines because of the “trade war”…

Assuming that global international trade sharply declines because of the “trade war” (in the forms

of increases in tariff and other trade barriers such as import quota and export subsidies on both

sides) between the U.S. and China, the U.S. and the European Union, and the U.S. and Japan.

Everything being equal, explain in 700-800 words the likely impact on the following:

• Global productivity, economic growth and inflation

• Australian consumers who buy goods imported from China, Japan and the United States.

• Australian producers who need to source from both China and the United States.

• Australian exporters such as a mining company who exports iron ore and coal to China and

Japan.

Attachments:

ECON8047-S120….pdf

Factiva.pdf

Understanding….pdf

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