Within an infinitely long timeline, yes. Transitions take time and few are willing to take the immediate financial (and thus political hit) to do so.
One example is pharmaceutical companies, which represent a significant portion of goods produced in Europe. There is no market similar to the US where prices and consumption are both significantly high, so I would argue they would simply take a significant hit.
Economics is rarely done in long term thought because political cycles rely on economic performance. It’s stupid, but here we are…
It is also about confidence which is a real short term thing. First thing I was taught in Economics lessons was governmental policy and fiscal policy rely on confidence - a no-confidence vote is exactly how most governments fail, the same is true of how a fiscal policy pans out. One bad decision can ruin confidence and bingo we are looking at a crisis
Its only 9% of global trade though. https://www.wita.org/ustrade/us-trade-trends/
Significant, but the rest of the world can transition away from that without too much difficulty.
Within an infinitely long timeline, yes. Transitions take time and few are willing to take the immediate financial (and thus political hit) to do so.
One example is pharmaceutical companies, which represent a significant portion of goods produced in Europe. There is no market similar to the US where prices and consumption are both significantly high, so I would argue they would simply take a significant hit.
Economics is rarely done in long term thought because political cycles rely on economic performance. It’s stupid, but here we are…
It is also about confidence which is a real short term thing. First thing I was taught in Economics lessons was governmental policy and fiscal policy rely on confidence - a no-confidence vote is exactly how most governments fail, the same is true of how a fiscal policy pans out. One bad decision can ruin confidence and bingo we are looking at a crisis