Re: What effect would trade sanctions have on the USA?
>>If every country in the world stopped buying US products, but still allowed the US to buy what they needed at fair market prices if they so desired..<<
Obviously, it wouldn't work like this in reality.
If the 'world' imposed trade sanctions on the US, we'd reciprocate, closing off the biggest, most vibrant consumer market in the world.
The biggest challenge for the US would be energy self-sufficiency. Backed into a corner, we could achieve this in 5 years or so with uber-aggressive alternative energy/conservation measures - actually, this would be a good thing.
Short term this scenario would hurt the US, and likely plunge the world into global recession. Longer term, the US would achieve energy self-sufficiency, eliminate the trade deficit, and emerge in tremendous economic shape.
It would also serve to unite many of the political divisions in this country, as the nation would rally together in the face of this kind of internatial action, making the US much stronger, although perhaps somewhat more defensive and militaristic in posture.
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