OPINION

Protectionism not good for growth

News, Nilanjan Banik & Pierto Paganini, Published on 09/07/2018

» We are passing through an interesting time. There is a likelihood that trade war between two of the world's biggest economies -- China and USA -- may blow out of proportion. The consequence may be another economic downturn in the offing. During an economic crisis, consumers spend less, and investors do not invest (or postpone their investment decisions). There is a general sense of pessimism about future earning prospects, leading to higher unemployment and lower productivity growth.