Trump promises 10 tarrifs on all imports
He is laying the foundation to a global trade war and raising prices massivly for al consumers to protec uncompetitive american industries and their fat catt owners.
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whowasthatmaskedman 路 70-79, M
StrictSouthernHOH 路 46-50, M
@whowasthatmaskedman That is true unless the exportng country devalues its currency, as China did, to keep prices low for the importing nation.
whowasthatmaskedman 路 70-79, M
@StrictSouthernHOH Even if the devaluation you speak is true, the tariff is still added to the price of the goods at the point of entry and your $2 tee shirt from Walmart becomes $2.50. The 50 cents goes to Washington..馃樂
StrictSouthernHOH 路 46-50, M
@whowasthatmaskedman Right, but that shirt costs less or the same to import, even with the tariff,, due to the better exchange rate resulting from the devalued Chinese currency.
whowasthatmaskedman 路 70-79, M
@StrictSouthernHOH The post is about the tariffs. So for the purpose of the exercise it doesnt matter if the item lands for 5 cents. If it has a 50 cent tariff on it, that 50 cents is a tax that goes to Washington. A tax the consumer pays..馃樂
JimboSaturn 路 51-55, M
@whowasthatmaskedman It's called deadweight and an economic no no for Adam Smith disciples. It's an impedement of a free market.
whowasthatmaskedman 路 70-79, M
@JimboSaturn Yes.. It encourages slackness in the competitive market. Ex the military harware, how many industries does America have that make and distribute globally, like a Toyota, or BMW? Actually there are a few. Mostly dealing chemicals that are outside the US to skirt environmental controls..馃樂