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#mythoughts

7 posts3 participants0 posts today
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(cont.)

Anyway, bottom line—

Trump’s tariff plans are 100% pro-inflationary.

The aggressive, high tariffs and other protectionist measures will lead to:

— higher prices
— increased isolation of the from other trading countries
— fewer choices for consumers

~~

In addition, the crippling ripple effects of Trump’s , especially if prolonged, will hurt US businesses and the labor market.

~~

There is a reason told Americans to expect some “pain.”

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(cont.)

Changing a country from a net importer to a net exporter of manufactured goods would require that the quality and prices of the goods be competitive on the world market.

1) Quality — there are many other countries manufacturing fantastic goods

2) Price — would the US compete (must consider cost factors like labor and COGS, which would rise w/ )

… unless the country plans on boxing itself in and trading with itself 🤔

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(cont.)

US-based auto makers & suppliers will be hit very hard by extreme . Some might even fail unless subsidized by the US gov’t. After all, Rome wasn’t built in a day, and it takes time to shift supply chains and manufacturing methods.

Interestingly, though, stands to benefit over its competitors.

~ Tesla stands strong amid Trump's auto tariffs, emphasizes US supply chain strength ~

usatoday.com/story/money/busin

USA TODAY · Tesla stands strong amid Trump's auto tariffs, emphasizes US supply chain strengthBy Akash Sriram and Arsheeya Bajwa, USA TODAY
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(cont.)

The US has been a net importer for much time (consumer spending makes up ~68% of GDP) and its citizens, the consumers, are used to having much purchasing choice.

Pushing the country to fundamental economic change through will inevitably isolate the while hurting its economy.

Prices will rise per free market principles of supply & demand unless they are set by the State (meaning — is that where he’s going w/ threatening companies?).

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/2 🧵

So

This is not free market capitalism. It’s ultra protectionist quasi-mercantilism. He’s treating the US like a developing country with an emerging market, trying to push it to become a net exporter (vs. importer) by force at the expense of other nations and the US economy (at least in the short-term).

And absolutely - US auto makers / suppliers would have to raise prices to meet their bottom lines when their COGS suddenly increase because of tariffs.

Thoughts about the internet—

Flashy videos that chase people around the page and bright, rapidly-scrolling page headers might be good for grabbing attention, but they are torture to a migraine sufferer. I want to run away from a page with lots of motion and flashing, not stay on it.

~ Trump revoking legal status for 530,000 Cubans, Haitians, Nicaraguans and Venezuelans (who entered through a Biden program)

(April 24 deadline to leave)

— not only is this awful, but it will hurt local US economies the immigrants work in

bbc.co.uk/news/articles/c33706

Border officers are seen through the window of a truck with a decal reading "US Customs and Border Protection" with a seal for the US Department of Homeland Security.
BBC NewsTrump revoking legal status for 530,000 Cubans, Haitians, Nicaraguans and VenezuelansMigrants who entered the US under the Biden-era programme will lose their deportation shield by the end of next month.

We really don’t need to see Musk’s face all over the place with all his dumb expressions. Trump neither.

It’s aggravating that the media (and some on social media) insist on adding photos that are often unrelated to the subject at hand.

I see the markets are up as Fed Chairman Jerome Powell talks about how he left interest rates unchanged— A bit unusual, because in the world prior to Jan 20 of this year, the unchanged interest rate might spook investors.

I think maybe people are happy that there looks to be an adult in the room.

Continued thread

So unfortunately, a gov’t shutdown will work in Trump’s favor. It could actually give the GOP leverage as they demand more budget cuts/spending changes to open the gov’t back up.

And a prolonged shutdown could cripple the courts & hold up crucial litigation countering Trump’s agenda.

Trump would be fine with a long gov’t shutdown. After all, the longest ever happened his first term, and it won’t hurt him politically since he won’t run again (at least per the Constitution).