The effect that China
would cause is a worldwide fall in the price of clothing, and if the
United States is importing clothing, that is, buying clothes from other
countries (for example, China), this is only beneficial because cheaper
foreign clothing can be purchased . However,
for the companies that produce and sell clothes in the United States,
and the world, this is bad, because the national product is not bought
and also the costs must be lowered. A country that imports a lot of clothing can be seen benefiting at the level of stores and small businesses; but
domestic garment factories, and clothing stores, see lost profits and
stagnant products, causing a crisis in the US clothing industry, in this
particular example.
