Engineer Mohannad Abbas Haddadin, GM of Jobkins Center for Strategic Studies, an expert, strategic and economic analyst, said that when Trump approved the tariffs on the second of this month to bring 700 billion dollars a year, with a result of 7 trillion over 10 years, the US stock markets lost it over 3 days, not to mention the risks of stagflation and loss in cryptocurrencies, which he was the main supporter of when he took office.
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Trump risked these fees after consulting him from the US Economics Peter Navarro, a graduate of Harvard University.
He is still applying his old economic theories to support US industry, which accounts for 12% of its gross product, while harming technology companies, on which the US economy depends by up to 50% of services, manufacturing, applications and others.
The two questions are: Is the bubble of the markets and the market values of US companies bursting? Has the dollar, whose global reserves amount to 58% been exposed?
To answer these two questions, we find that the global gold reserves that support the dollar have decreased significantly and become part of the global dollar without covering it, which necessitates devaluing the dollar to be able to compete with other currencies and the United States can make its exports more attractive, and since gold in the world is limited to no more than 200 thousand tons between what people have, Federal Reserves and industries, there will be an automatic correction to avoid a deep recession, and the markets will pay a price for all this, and this correction, which resulted from mistakes that lasted more than 5 decades since the Nixon shock, but the United States military dominance over the world after the fall of it was the Soviet Union that postponed this correction.
Therefore, the choice of consultants should be based on those who can read the variables and deal accurately with them within mathematical algorithms and not abstract theories, to choose the right timing to launch reform packages, and not to back down from decisions, which weakens confidence in the procedures and reflected negatively on the decision itself.
