Trump tariff: A simple video guide for 15 economic term to know Donald Trump News

Over the past few weeks, US President Donald Trump has announced a series of customs tariff policies, with data that has led to increased concerns about global economic instability.

With Trump’s effects that affect almost every country, many terms have been put forward to describe potential results.

From commercial wars to a decrease in the stock market, this article explains, in simple phrases with illustrations, what these main terms mean, including those that may become more important in the coming months.

1. The tariff

Customs duties are simply taxes imposed on the border by one country on the commodities of a foreign country. They usually aim to protect local companies from foreign competition.

• Mutual definitions It came to define Trump’s trade policy of imposing the same definitions on other countries that these countries impose on American goods. It is like saying, “If you are an accusation, we will impose the same.”
• Revenge definitions It is the taxes imposed by a state on goods imported from a foreign country to respond to the imposition of similar taxes in that country. It is like saying, “If you make it difficult for us, we will do the same for you.”

2, Trade War

The trade war occurs when, for example, countries ignore commercial practices and one country that puts an additional tariff on goods from others believed to be involved in unfair commercial practices. The other country discusses definitions, and this dream continues opposite, which rises to a commercial war.

It is similar to tightening the economic cord, as both sides continue to withdraw more strongly instead of finding a way to agree.

A good example of this is the trade war between the United States of China, which has been in effect since 2018 when the United States was first placed a customs tariff on Chinese goods. Recently, the two nipples between Washington and Beijing have witnessed a tariff for China that rises to 145 percent.

3. Commercial and excess deficit

A commercial deficit occurs when a country (imports) buy more goods than (exports), which means that the demand for foreign goods is greater than supplying its own products.

For example, the United States suffers from a trade deficit with China because it buys more commodities from China, such as electronics and clothes, which sells it.

A Trade surplus The opposite. This happens when a country sells more than goods than you buy.

For example, the United States has a trade surplus with the Netherlands because it sells more goods, such as machines and agricultural products, to the Netherlands more than you buy.

4. The subsidies

The subsidies are the financial support or funds provided by the government to help local companies or industries, which makes their products cheaper or more competitive.

For example, 25 percent after Trump’s tariff for all foreign cars and auto parts, South Korea announced emergency support for the auto sector by raising electric cars subsidies to increase the demand.

5. Securities Market

The stock market is a place where companies shares and other financial tools are purchased and sold. For example, if you buy Amazon shares, you have part of the company, and you can rise or decrease the value of the arrow, which means that you can earn money or lose it.

The index is a way to measure how to perform a set of arrows.

In the United States, three of the largest indicators are:

• S & P 500 It tracks 500 largest companies in the United States.
• Nasdak Technical stocks are mainly tracked like Amazon and Google.
• Dow Jon’s industrial average 30 large American companies such as Coca-Cola and Walmart follow.

6. Federal Reserve Bank

The Federal Reserve (Federal Reserve) is the Central Bank of the United States.

It helps in controlling the money supply in the country, determines interest rates, and tries to maintain the stability of the economy – more at a later time.

7. Interest rates

Use rates are the cost of money borrowing, and it is usually expressed as a percentage.

For example, when the Federal Reserve raises interest rates, the borrowing becomes more expensive, and when the prices reduce, the money borrowing becomes cheaper.

Interest rates rise when central banks want to slow down inflation or calm a feverish economy.

8. inflation

Inflation measures how high the price of things over time. This means that money does not buy as much as it was.

For example, if a sandwich cost $ 2.50 a year ago, and now the sandwich itself costs $ 3.00, the inflation rate for the sandwich is 20 percent.

Inflation can occur when the product demand is higher than the offer, or when it costs more product. It can also happen if there is a lot of money in the economy, such as when the country prints more money.

The Federal Reserve tries to keep inflation fixed. If prices rise very quickly, they may hurt the economy by making goods and services very expensive. The Federal Reserve changes interest rates to help maintain prices in control.

9. The exchange rate

The exchange rate is the value of a country’s money compared to other panels.

For example, one US dollar will get about 0.90 euros.

The exchange rates are important because they affect the cost of buying and selling goods between countries.

The strong currency makes imports cheaper and export more expensive, while the weak currency makes exports cheaper and import more expensive. The rates also affect travel, investments and global business.

10. Market Trends

Market trends are the general trend in which prices or markets move over time – up, down or stay stable.

It helps investors and companies understand what is happening in the economy.

Economists use terms such as the “Taurus” and “bear” to indicate these trends.

• Taurus Market – When the economy is in good condition, prices rise and people feel confident. Think of pushing the bull with its trumpets (high prices)
• Bear market – When the economy is working badly, prices decrease and feel cautious. Think about a bear dress with his feet (low prices).

Economists often use the S&P 500 formula to determine whether we are in the bull or bear market, with a 20 percent change from the last highlands as a major event.

11. Debt

Religion is the money that the government owes another, and the agreement to be paid later is usually with benefits.

For example, if the United States needs money for things like healthcare or defense, it may borrow from China by selling US Treasury bonds.

The bonds resemble the loan in which you lend money for interest and payment later.

China buys these bonds, and lends money to the United States, which promise to pay them with time over time. This allows the United States to obtain money quickly without raising taxes or cutting spending.

As of March 2025, the American national debt is about 36.56 trillion dollars. The level of large debt raised concerns about the country’s financial health and its ability to manage future financial obligations.

12. Trade Conventions

Trade agreements are deals between countries that facilitate the purchase and sale of goods.

For example:

• Free Trade Convention (FTA) It is a deal between two or more countries to remove commercial barriers, such as definitions, to facilitate the movement between goods and services between them.
• Bilateral Trade Agreement It is a broader deal between the two countries that include rules to help them circulate more easily.

13. GDP (GDP)

GDP is the total value of all goods and services that are produced in a country over a specific period, usually general or quarter. It is used to measure the size and health of the country’s economy.

14. Rawd

The recession is when the economy becomes weaker for a period of time.

The recession is usually determined when the country’s GDP decreases for a consecutive period (six months).

During the recession, several things usually occur:

• People lose jobs
• People spend less
• The stock markets are located.

Since 1950, the United States had 11 Running.

15. Types of commercial policies

Commercial policies refer to government policies that govern the exchange of goods and services between countries.

In general, there are two opposing faces on how to engage in countries in global trade.

• Protection It focuses on reducing trade and protecting local industries. Some protectionized policy tools are customs duties, subsidies and import quotas – determining boundaries on the amount of the product that can be imported.
• Free Trade – Openness is enhanced by allowing countries to easily trade goods and services. Free trade is generally better for global economic growth, reducing consumer prices, and reaching a wide range of goods and services.