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The best thing that can be said about President Donald Trump's latest trade initiative is that it moves the U.S. back toward the kind of agreements Trump unwisely blew up when he became president.Trump seems readier to compromise these days with Europe, too, another positive shift after 20 months of intermittent trade tantrums.The financial markets, which Trump touts as a proxy for success, have been roaring this week at the prospect that we may see new trade agreements, rather than the trade war that Trump had threatened. The current virtuous economic cycle (solid expansion, wage growth and continued low inflation) may be good news for Trump, but it's also good news for everyone else.Trump has often misdiagnosed the China trade problem. It's not the sheer size of the U.S. trade deficit with China – though that was a staggering $375 billion last year, or about 65 percent of the total U.S. trade deficit. Trump was elected by a country that doubted the global trading system was benefiting the average worker.
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