The president appears to be considering a border adjustment tax, which many economists favor. But its supporters warn it won’t give him what he wants.
For as loudly as Donald Trump complains about foreign trade, it’s hard to pin him to specifics. Does he prefer a 20 percent tariff on Mexican imports? Or a 45 percent tax on companies that move jobs overseas? Or… something else?
On Thursday, the president made his position a bit more clear. In an interview with Reuters, he praised a proposal by House Speaker Paul Ryan to broadly tax imports but remove taxes on exports, a core component of the Republican “Better Way” blueprint.
Ryan wants the “border adjustment” as part of a larger refactoring of the American tax code, something fiscal conservatives...