What will happen if these tariffs go into effect for any significant amount of time? The price of everything will go up a lot and many people will lose their jobs. Not to mention we will become a global pariah for sending the world into a global recession.
Goods that were once produced overseas and imported will either be produced in the US (creating jobs and increasing wages), or we will import from countries with lower tariffs and more balanced trade agreements, or the exporting country will lower its prices to offset the tariffs to remain competitive. No one is forced to buy foreign goods. That makes zero sense. If you want a German car, you can still get it but it's going to cost you. Or you can buy American.
1970s logic in a high tech world. Modern industrial investment will be heavily automated and not the people heavy investment it once was. This sounds nice in theory but can't work out that way in reality unless everyone participating has the appetite for massive cost increases. We don't.
The entire US economy is built off buying foreign goods. Lets just flip a switch and buy American everything…
That idea is just not the reality. Different countries have the ability to produce different things and they use trade to get what they want and need.
See....if you knew the answer to this, you wouldn't be on here embarrassing yourself in this thread. It's really an excellent representation of the average trump hater.
Wages. Red tape can be an issue too. Companies can manufacture in other countries at a fraction of the cost due to lower wages and less regulation.
There is zero chance this happens the way you think it will.
I liked the idea of reciprocal tariffs on the biggest offenders. I liked the idea of using them to force canada and mexico to help secure the border. They've largely been used as a hammer for negotiating. I don't like the broad nature of what's being done now. But I'm gonna give it a little time and see how it shakes out before I overreact on it. There's already been more than 50 countries lining up to renegotiate trade. There are people in this thread saying "tariffs never work" and they clearly have no idea what they're talking about.
Because thankfully we have a higher standard of living than Vietnam and China. For a long time now, anyone who wants a job can get a job. Why do we need low margin ****** manufacturing here? Leave that to countries who are developing or don’t care if they have a low standard of living.
You obviously took a different ECON course than I did, but mine was 40 years ago. And for some reason MSU was using 4 digit numbers, so I think it was ECON 1101.
My livelihood very much relies on exporting to other countries so tariffs just complicate things in a farm economy that is approaching 1980s bad before all this happened.
oh, we are too good to manufacture anything ? That’s for third world countries ?
If the benchmark index were to lose more than 4% in value today, it would be the first time since 1929 that there were 3 consecutive trading days with declines of more than 4%. Historic times indeed, particularly when all the headwinds were birthed in less than 3 months. Good news, he's working hard now to find a path to a historic 3rd term. We may be greater than we ever imagined if he can keep on pushing that pesky Constitution aside...
Answer the question I asked… what specific type of manufacture do you want us competing with China for? You wanna make $3 happy meal toys here?
There were people in place at that time that curbed the stupider instincts. Those people aren't there this time.
I didn’t answer the question because it is so obvious. Any and all manufacturing we can get should be done at home. All of the 20-30 somethings living with their parents who can’t afford a home, might be able to form a family. This is how it was done in the 80s. There were actually good middle class jobs for graduating high school students who did not go to college.
You really don't want low-skilled manufacturing here again. It's just not the best use of our human capital.
1970s logic lol. What would happen if we continued the former status quo trajectory for another 20 years?
Said it a million times. Intelligent tariffs in the right situation can be very effective. Sledge hammer approach is just a giant mess. I'll be blown away if we really do commit to this approach. But like you I still think we are going to pull a few good deals out of this and pull way back and claim victory. Markets will settle to a large extent and hopefully we can increase our customer base as a result.
Elaborate please. I think there's a 100% it happens the way economics has happened since inception. There will be short term pain as things shift. It's common sense, really.
I get that. I'm not criticizing how you feel about it. Like I said, I think we're overreaching with tariffs right now too. But I'm inclined to let it play out. A lot of the noise out there is coming from people who a)don't understand what's trying to be accomplished, b)is freaked by the stock market, or c)just hates all things trump.
What's the long term gain? Nobody is articulating what it is other than a return to an economic style that relies on headcount in manufacturing that simply won't happen with today's technology. It's dated now like saying let's return to farming to drive job growth. That's just not going to drive the numbers that people want in jobs that pay well. I wish it could happen but it can't in a high tech capitalist world. We have to think differently now if we want to compete long term.
Things change.
People think manufacturing just magically creates middle class jobs and that's just not the case. There was a brief period of time where manufacturing paid pretty well for unskilled jobs. You can get middle class wages for semi-skilled jobs for some high value goods that are expensive to ship. But for most of these manufacturing jobs, the only way to make them have middle class wages is to use government intervention to prevent the market from working and drive up costs so that much fewer of the goods in question are made and used, and people in general are poorer in exchange for making some very small subset of workers better off.
Not who you directed it to and not just limited to manufacturing, but steel, rare earth metals, pharmaceuticals, shipbuilding, air craft manufacturing, and chips.
There is a national security element to this. We are way too reliant on other countries for basic necessities because that low skilled manufacturing is much less expensive there.
Yeah buddy, yall are killin' it man. Just really doing a heckuva job.
The 80’s aren’t coming back. The cost of living is higher. You want to bring a bunch of low tech manufacturing back and give people jobs where they can’t afford housing. Again, im all for creating manufacturing where people can earn wages to support cost of living. Your plan will pay people minimum wage to work in **** conditions and they wont be able to afford a house.
100%, the president shouldn’t be able to just executive order whatever whim he wants. I don’t remember that happening prior to Obama, but could just be my lack of memory.
My theory is that it's what you posted, that is essentially what this deal is all about. Rage about a time that is long gone, and a changing world.
