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For years, us, Canadians went to USA for shopping. Next year with the exchange rate at the highest for US$, and Canada without tariff, a shit load of americans will come to Canada to buy their electronics and stuff.
The US is at least 40 years removed from any kind of real electronics manufacturing at scale.
This kind of thing takes generational knowledge to get right and we outsourced that knowledge a long time ago.
We are now several generations from being able to manufacture electronics on the level.
Either trump has no idea how anything works or he’s actively trying to destroy the American economy.
He will just give out stimulus checks to make everyone think the economy is good. Somehow that’s not socialism though it’s American!
yep, warm up those money printers. And too bad for anyone who has saved a nestegg for retirement-- thats all getting watered down now. ah well.
Jokes on them, in 50+ years I’ve accumulated almost nothing anyhow!
He likes Russia so much that he wants the US to become like it. He’s following the post-USSR playbook. He’s trying to destroy the economy so he and his billionaire buddies can buy up the scraps for pennies on the dollar. Which will turn him into an oligarch and will keep him in power after his term is up. And he isn’t going to pay for any of it. He will steal money from the people like he did in his first term with his golf course and his cult following will keep giving him money and buy his crypto coins. That’s why he wants to get rid of cryptocurrency regulation.
Porque los dos?
They’ll blame democrats for the price increases. Bet me.
Same as last time
Same as every time, this shit is so damn tiring
Can someone please explain to me why he STILL doesn’t have any understanding of how tarrifs work?
You’re making the mistake in that his intention is to improve things.
He doesn’t have to make things better, he just has to say he has made them better. That’s all he’s ever done and it’s worked.
yOu’Re FiReD
A candidate that expressed nuanced understanding of economic principles would have been less likely to win the election.
A candidate that instead promises answers that intuitively sound right. If imports are expensive, then obviously the big business owners will build domestic and give us more money. If you get rid of immigrants, then the business owners will have to pay more for citizen workers. Simple answers that are easier for people to believe in.
Attempts to explain nuance? That ranges from nerds overcomplicating things and/or those darned liberal elites trying to truck them.
This cuts both ways. In 2020 Biden won not due to a more sophisticated understanding of things, but simply because things were bad, and the other guy therefore was the obvious choice. So to overcome an incumbent, you just have to have people believe stuff is bad, and provide some believable explanation that you could fix it.
he STILL doesn’t have any understanding of how tarrifs work?
How do you STILL think this isn’t all intentional? They know what they’re doing. They don’t care if we can afford it or not. This is about the conservatives’ bottom line, lol. They don’t care about you, America, China or whether any of it works.
It doesn’t do anything for their bottom life because the tariff is something we pay TO CHINA
A tariff is what you pay to the government of the port of call to get the item you shipped.
When you pay $1000 for a DJI drone and it get’s to Seattle the US government says “pay us $600 or it goes back on the boat.”
The Chinese company sees literally zero impact other than possibly less orders and probably a wave of refused merch. Which they might keep some or all of the purchase price of anyway.
Russia wants to pit the US and China against each other to distract and destabilize them both. So all of this is great for Russia’s bottom line.
The tariffs got them elected. The fallout of them is a write-off and not their problem. They were the means to an end for votes and swaying opinions and they did their job.
I believe that he does, and he knows shit will cost more, but he ALSO knows that his followers have no clue whatsoever. So prices will increase, and he’ll blame it on one of their many “others”. Keeping them scared and mad is the key to their control over them
His followers know he’ll deliberately cause instability, that’s what they want.
Some people want more expensive shit as long as its made in america or with american goods. Thats the point of a tariff.
But not the idiots that said inflation was their main issue. Trump told them 3 ways he’s going to economically hurt them 1. Tariffs 2. Raising taxes (unless you are 1%) and 3. Mass Deportation.
Mexico about to make a killing in shipping.
Where so you think American farmers buy their fertilizer? Where they sell most of their soy and corn sell to? Maaaaany companies are either buying or selling to/from China. Many will go bankrupt, bany will struggle.
China is strengthening ties with Russia to replace u.s trade, and it shows that Putin is laughing his ass off at how he played a whole country, other than his I mean
Brought this up to a friend who is very pro Trump and he said
“Part of trying to get industry back in the country (which we would be better off with) involves making imports less appealing.”
These people have no concept of geo politics and global trade. For example, we produce a lot of the world’s soy, that’s a major export, not many other countries do it on a large scale like that - so we cut the other countries some slack and tell them we won’t produce this particular good so you can have a hand in the global economy. Yes having the production here would be ideal as I’m all for it, but the world is so much more than Murica and they can’t see past their fucking noses.
It’s way, way more than that. Specialization and comparative advantage underpins the entire globalized economy which is the only way to allow us to get more for the same amount of labor. Without it, we simply regress. US farmers grow soybeans so that Chinese manufactures can make the tractors to allow the US farmers to grow the soybeans, and that only works with free trade. And in this scenario there is no one else making a tractor for anywhere near the same cost, and no one else who can grow such a large volume of soybeans, otherwise the trade probably wouldn’t be happening in the first place. And so the alternative is that both countries have to make both independently. And that is more expensive without the efficiencies of economy of scale, more expensive because of lower supply because we don’t have the capacity to produce that many tractors and China can’t grow that many soybeans, and more expensive because of the infrastructure costs being duplicated and spread out over less units.
And so we both end up with less tractors and less food that are more expensive. Now add in petrochemical fertilizers imported from Canada, steel and coal for the metal used in the tractor imported from Australia, all the industries that support them also getting caught into this, and where every one of those companies is tied into their regional, national, and the global economy. And that is just for tractors and soybeans.
We trade for almost everything. And every single item that we trade, we do so because it is cheaper than making it ourselves. Tariffs are an artificial tax on efficiency, and we are literally less prosperous with them in place. Some things are a matter of national security, of not allowing a foreign government leverage over your society, but we’re talking about his genius plan to put tariffs on literally fucking everything - soybeans and tractors, but also clothing, toys, electronics, appliances, vehicles, on and on and on. And a tariff on it will increase the price, because that is just how economics works.
we could have a more robust economy where we do make everything and they make everything and nothing needs to be more expensive, if we just let it be less profitable
And a tariff on it will increase the price, because that is just how economics works.
this is not very scientific.
No, but its exactly correct in a short sentence. Science wishes it could be that exact.
Please tell me any way a tax, an additional cost added on to something could lower the price.
it’s not causal
The cost of getting the goods to consumers goes up. Does the consumer pay:
A) More
B) Less
C) The same
This election was decided by the majority of people in this country not being able to answer this very simple question
Edit: oh shit I didn’t even notice it was you lmao I see you’re still roleplaying The Person With The Worst Takes
why did the cost go up? what other variables are at play?
Good guess, but that wasn’t one of the options. Does the consumer pay:
A) More
B) Less
C) The same
I promise you, if you think about it for even a moment, this has a very intuitive answer
we can’t know
Just be sure to remind him at every opportunity that he voted for things to be more expensive.
I will
Three different ways trump has promised to his effective income
- Tariffs - prices directly go up
- Income taxes will be raised unless he’s in the 1%
- Mass Deportation will make food more expensive because there won’t be any Latinos to pick crops.
Yes it does.
Do you know why we outsourced everything to China? Because they can do it cheaper.
You can get it back, have it higher quality, more jobs, better control over it, all that good stuff. But it won’t be cheaper.
The US sells things they can make comparatively cheaper (not just price, its an opportunity cost) - better educated population, logistic, access to raw material, infrastructure investments. China sells things they can do cheaper - usually the fact that life is cheap in China.
I agree with a lot of what you said. “Better educated population.”
Doubt
While I mostly agree, but let’s not underestimate Chinese education and the culture built around overachieving.
Nah, I was joking about the fact I wouldn’t say we are more educated than anyone ever again. After this week, I’m going to assume we are around 192nd in education, maybe 193rd. Out of the 193 members of the UN
Sorry clarification.
I listed things a country may have that can create a competition advantage. I’d also argue the better infrastructure for the US as well.
Does he also know local companies will capitalise on the price increase?
Current import price: 80
Current USA made price: 100
Tariff import price: 200
Tariff USA made price: 190
Trump is banking on foreign companies moving their operations to the US. There’s also a high chance that Trump actually won’t do anything. The guy talks a lot.
Good. I hope he does it. Don’t let any of his yes-men or cronies tell him what a horrible idea it is. Let the whole fucking country burn.
Removed by mod
This post is about tariffs.
… what
The joke is twofold:
- Some people, mostly authoritarian communists, claim that the ‘tankie’ is being used to describe anybody too far left.
- Democrats are by now very right on immigration.
Everyone needs a lesson in how tarrifs work. Tarrifs are a tax on thing that US companies buy. They are intended to make foreign products more expensive to protect domestic producers. So, the American company pays the tariff. They then pass that tariff on to their customer, either another company or an American consumer. Then, the country that the tariff had been applied to applies offsetting tarrifs on American goods.
When the product that the tariff is applied to can’t be produced in the US, think advanced microchips or Canadian softwood lumber, Americans pay more but still have to buy the foreign product. With the softwood lumber tarrifs the cost of building a home with Canadian softwood lumber went up by tens of thousands of dollars and Canadian companies laughed all the way to the bank. American consumers paid more and Canadian companies made record profits because the US can’t produce enough softwood lumber to meet its needs.
So, the price to American companies and consumers goes up and the cost of American goods overseas goes up. Americans pay the tarrifs and American companies sell less goods overseas.
America loses.
But think of all the failing business that will be super cheap to aquire! /s
Oh I have no doubt that the Blackrocks and Birkshire Hathaway’s of the nation are absolutely throbbing at the prospect. Literally diamonds. Those dusty old corpses won’t need their hourly viagra until 2030.
What I love… what I really love… is that this happened during the administration of Trump’s favorite president (other than himself), Andrew Jackson:
So in your example, I guess the tariffs don’t apply to Canada? Because the proceeds of tariffs go to the government of the country charging them.
I’m not sure what you’re asking. If you’re referring to softwood lumber the profits of Canadian lumber companies were at record levels because the US needs Canadian softwood lumber with or without tarrifs. The tarrifs didn’t affect sales at all so with the increased demand despite the tarrifs Canadian companies didn’t suffer at all. US consumers spent more and the money went to the US government which presumably gave some of the money to uncompetitive US softwood lumber companies to subsides their unprofitable operations. It’s a tax on US consumers.
Canadian softwood lumber companies pay a stumpage fee to sustainably harvest softwood on public land. US softwood lumber companies pay much higher prices to harvest lumber mostly on private land. It’s all about extracting the highest profit for the most wealthy people. Canada has a better system and the US is salty about it. The US has lost at the WTO every time but refuses to accept the result so it ignores its treaty obligations and just forges ahead with the illegal tarrifs which hurt US consumers.
I’m involved in the manufacturing sector. At recent trade shows, we’ve been hearing that a lot of companies were holding off on making decisions about purchasing goods and machinery until after the election, though no one was saying much specifically about what each candidate would mean for their decisions. This article seems to say the outlook isn’t super rosy and his initiatives don’t make a ton of sense.
I’m in manufacturing within China. While I’m not American and don’t work with American companies. Lots of our supply chain has said there is high levels of uncertainty in projects. Projects have been on hold for months.
Any reason for the unnecessary outlining and underlining instead of just cropping the picture decently? Ffs
It’s a shitpost. You may want to check your expectations.
but then we wouldn’t get to see the pretty boat!
I hope Trump turns out to be the best president in history. Prove me wrong, conservatives. I want to hear how it’s going by the fourth year.
Everyone who says he’s not the best President ever will be shot.
I mean, what do you think? He announced that. Apparently this is what the US-Citizens want.
It’s that damn reality that needs to be punished. Stupid facts and laws of economics making Trump look worse than he is.
Seeing a stark void of “Fuck China” posts all of a sudden. Crazy what happens when the treat train gets held up at the border.
No you don’t understand, Mexico is going to pay for, sorry I mean, China is going to pay the tariffs.
Unironically what we’re going to hear Trump say. But also, there’s so much money in imports, I can see this plan getting bottled up and strangled in Congress very easily.
Except I can see Trump just sidestepping via EO. Sure, it’s unconstitutional, but “official acts”, remember?
I wouldnt be surprised if the US ends up with sanctuary ports where the tariffs are just hand waved by the state.
And then charge tariffs for goods moved to red states?
Used electronics go brrrrrr
Used electronics you already own goes brrr Used electronics for sale will go up in price, because the seller needs money to buy new electronics or maybe food
You guys buy new? In Putin Russia we make our own laptops from dishwashers!
Imported from Ukraine!More seriously, I use some i5-2700 desktop computer and just happy.
Remember that you need a pretty new setup to get to run a windows OS that still receives updates. If we talk about computers that is.
Use linux.
I am almost there. I had so much problem with Linux on my server that i run back in the days that I said I never want to touch Linux again after last time i installed it. It broke a couple of years later and I knew I could not run windows but had read about Linux mint. Installed with no expectations and that was easier than windows. No problems, easy to config and I got everything to just work as I wish.
The step from going to Linux on my main computer is not far. I guess I will dual boot for a while since I play a lot of games and once I get accustomed to it I guess it will be my main. Fuck windows.
