Trump’s policy is leading to a transfer of global savings that makes them inefficient

The economic policy conducted in the United States (at full employment, expansionary fiscal policy and more restrictive monetary policy with rising interest rat es) will inevitably lead to an increase in the US external deficit and to greater capital flows being attracted to the United States. This is leading to an inefficient transfer of global savings: they are moving to the United States, where they primarily finance a pointless increase in earnings , at the expense of the other countries, especially emerging countries, where these savings could have finance d efficient investments. So the current US economic policy is reduc ing global growth by making the use of global savings less efficient.