Hey there! Have you ever wondered how countries trade with each other? It’s not just about toys, cars, or gadgets. There’s a whole world of services being traded too, like computer programs, movies, and financial advice!
Recently, there was news from a British magazine called The Economist. They said that some countries might start charging extra taxes (called tariffs) on services they buy from the United States. Why? Because the U.S. has been charging extra taxes on things (goods) they buy from other countries.
Let’s break it down: Imagine you and your friend always trade snacks. You give them cookies, and they give you chips. But one day, your friend says you have to give them two cookies to get one bag of chips! That’s not fair, right? So you might decide to ask for more chips or charge them more cookies in return.
In the big world, the U.S. buys a lot of stuff from other countries but sells even more services to them. Other countries are thinking, “If the U.S. charges us more on goods, maybe we should charge more on their services!”
But here’s the tricky part: Making these changes can be a bit like a game of tug-of-war. If countries start charging more, it could make things harder for businesses and people everywhere.
What do you think? How should countries make trade fair for everyone? 🤔
Reference(s):
Countries might impose 19% tariffs on U.S. services: British media
cgtn.com
