More

Jimmy Kimmel asked a 2nd grader to explain trade to Trump. She didn't disappoint.

'Are trade deficits good or bad? They're both, Mr. President.'

Jimmy Kimmel asked a 2nd grader to explain trade to Trump. She didn't disappoint.

Managing global economics isn't for everyone.

It takes levelheadedness, a knack for diplomacy, and a basic understanding of math.


Unfortunately, if the recent tweets by businessman-turned-President Donald Trump are any indication, he may be lacking in all three.

On April 4, Trump tweeted that "when you're already $500 billion DOWN, you can't lose!"

The statement was in regards to the U.S. trade deficit. America's largest deficit, by country, is with China.

In recent weeks, Trump has escalated talks of a trade war with China, slapping a 25% tariff on several Chinese-made products on April 3. China retaliated by imposing its own tariffs on $50 billion-worth of American goods, including pork and soybeans.

Many economists say these moves will inevitably hurt workers in U.S. agricultural and manufacturing sectors — ironically, the same industries Trump vowed to protect.

The scary thing, as Jimmy Kimmel pointed out during the April 5 episode of his show, is that Trump doesn't seem to understand the complexities of trade.

“[Trump] seems to think that if one side has a deficit, that side is losing by $500 billion," Kimmel said, pointing to Trump's tweet. "That's not how trade deficits work."

So, on the off-chance Trump might be tuning in that night, the late night host asked a second-grader named Shiloh to explain the concept of trade deficits to the president.  

It was funny, adorable — and actually really informative, too. Check it out (story continues below):

It's OK — if global trade isn't your forte, I'll break down Shiloh's lesson.

"What is a trade deficit?" she began the video. "It sounds like a bad thing. But really, it's just the difference between how much we buy from another country and how much we sell to that country. So, if we buy more stuff from China than we sell to them, that's a trade deficit."

All GIFs via "Jimmy Kimmel Live!"/YouTube.

"But don't freak out," she assured viewers. "We didn't actually lose anything, because we have all the stuff we bought."

Despite the scary name, deficits can actually be a good thing, she explained — it often indicates a strong national economy and means we have more money on hand to spend.

"But there are problems," as she pointed out.

Trump's more populist, protectionist ideas have some merit. She said, "Some American workers lose their jobs making stuff if we buy that stuff from other countries." Those abroad who end up with those jobs may work under dangerous working conditions and get paid less than U.S. workers would have.

The moral of Shiloh's story?

Trade deficits are complicated. They result in both pros and cons for us in the U.S. And the totality of their effects can't be adequately summed up in a 280-character tweet.

"So, are trade deficits good or bad? They're both, Mr. President," Shiloh concluded. "If you have any other questions, let me know. Good luck."

Photo by Louis Hansel on Unsplash
True

This story was originally shared on Capital One.

Inside the walls of her kitchen at her childhood home in Guatemala, Evelyn Klohr, the founder of a Washington, D.C.-area bakery called Kakeshionista, was taught a lesson that remains central to her business operations today.

"Baking cakes gave me the confidence to believe in my own brand and now I put my heart into giving my customers something they'll enjoy eating," Klohr said.

While driven to launch her own baking business, pursuing a dream in the culinary arts was economically challenging for Klohr. In the United States, culinary schools can open doors to future careers, but the cost of entry can be upwards of $36,000 a year.

Through a friend, Klohr learned about La Cocina VA, a nonprofit dedicated to providing job training and entrepreneurship development services at a training facility in the Washington, D.C-area.

La Cocina VA's, which translates to "the kitchen" in Spanish, offers its Bilingual Culinary Training program to prepare low-and moderate-income individuals from diverse backgrounds to launch careers in the food industry.

That program gave Klohr the ability to fully immerse herself in the baking industry within a professional kitchen facility and receive training in an array of subjects including culinary skills, food safety, career development and English language classes.

Keep Reading Show less

Vanna White appeared on "The Price Is Right" in 1980.

Vanna White has been a household name in the United States for decades, which is kind of hilarious when you consider how she gained her fame and fortune. Since 1982, the former model and actress has made millions walking back and forth turning letters (and later simply touching them—yay technology) on the game show "Wheel of Fortune."

That's it. Walking back and forth in a pretty evening gown, flipping letters and clapping for contestants. More on that job in a minute…

As a member of Gen X, television game shows like "Wheel of Fortune" and "The Price is Right" send me straight back to my childhood. Watching this clip from 1980 of Vanna White competing on "The Price is Right" two years before she started turning letters on "Wheel of Fortune" is like stepping into a time machine. Bob Barker's voice, the theme music, the sound effects—I swear I'm home from school sick, lying on the ugly flowered couch with my mom checking my forehead and bringing me Tang.

This video has it all: the early '80s hairstyles, a fresh-faced Vanna White and Bob Barker's casual sexism that would never in a million years fly today.

Keep Reading Show less