Macro Nugget: Liar Liar, Pants on Fire
Trade data between China and USA has diverged
The answer to whether trade-war tariffs have worked or not depends on whose data you use. US data says tariffs have worked, Chinese data suggest it hasn’t. The likely reasons for this divergence is China’s VAT rebates which have increase during the trade war along with US tariff evasions that make imports underreported.
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