Tariffs are fucking evil. And seeing that he never rolled back the tariffs he put in place in his first term (which helped accelerate inflation), this will be fucking disastrous for the economy. His bullshit tax plan has already raised taxes on nearly everyone in the middle class, and this will only make matters worse.
I don't know about disastrous. Can only really wait and see how it plays out. People are so panicky in the short term. He can roll back tariffs at the drop of a hat if he wanted to.
If the tariffs are around long enough, interest rates will actually rise, not drop, because the tariffs will cause massive inflation, so rates will rise as a means of attempting to cool the economy down because of the rising price levels. That will result in stagflation, and the orange idiot doesn’t seem to grasp that. I don’t believe a god damned word he says about this because he lies about nearly everything else.
Except the people who pay are us, not other countries. Hence, why tariffs fail.
It puts the fed in a weird bind. They could lower interest to help the economy and investment in the US. But they have to balance that with inflation. My guess is the Fed will just hold steady and actually see how thing go. In the mean time the countries that will really see the pinch are the ones who are surplus countries. They suddenly will have goods they can't sell. Which is why it should be very effective as a negotiating tool.
Thats the part I think many are overlooking in all this. I believe this is all just for negotiations. I see alot of people that seem to look at the tariffs as a permanent thing. I don't believe that was ever the intention. I mean if he had gone to each of these countries and said, "hey I want to renegotiate our deal" each of them would have just basically laughed it off. Now that he has shown there is a substantial loos involved if they don't, my guess is most if not all will be happy to sit down and talk it out.
Exactly right.
Well and the fact remains a trade war will hurt the other countries more than it will hurt us. He is leveraging that.
As well he should. They have definitely used every advantage they could until now.
Well yeah for too long we have taken the position that we will take care of everyone else but we don't need anyone else's help in return.
Idiot. Plain and simple.
THIS is why he is putting in place these tariffs.
So that a financially destitute, third world, shit hole country concedes. Got it.
