Comment by Balgair
15 days ago
Um, by picking and choosing what goods need protection in the long term?
Like, we can't make more fish. Avocados take a few years to grow new trees. Steel mills don't just appear in Ohio.
The worst part is that, even if you believe Donny, he's so mercurial with these tariffs that no one is going to give you a loan to do anything about any of this. This Katy Perry doctrine [0] he's established is just poison to any sort of capital investment. You've got no idea if any of these tariffs will make it to Monday, let alone to the time it takes the mortgage on your t-shirt factory to be paid off. And then you've got a new administration in four years and no idea if they will keep that protection for you either. How are you going to plant a whole vineyard and get it profitable in 4 years when grape vines take 7 years to mature to fruit bearing?
There's no point to any of this, even if you believe him.
[0] 'Cause you're hot, then you're cold You're yes, then you're no You're in, then you're out You're up, then you're down You're wrong when it's right It's black, and it's white We fight, we break up We kiss, we make up
Overall I agree, but I'm not sure there's literally no point. American primary producers will likely benefit - people who own mines, oil wells, farms, etc., and some American manufacturers too as long as they source enough of their raw materials from within the US that the price hikes on resources from overseas don't bite them too much. Still an overall loss that will be borne by American consumers, but a small section of the population who are already wealthy will greatly benefit...
The point is, as this Senator explains, not economic, but to gain leverage over companies and countries:
https://bsky.app/profile/chrismurphyct.bsky.social/post/3llu...
"Do _____ and maybe we can cut you some slack on the tariffs"
If there is a point and it's not just absolute stupidity.
I think he's on to something, but then I come back to Hanlon's Razor: Never assume conspiracy when stupidity will do.
Sure, they might be trying to do this. But I'd give that a ~3% chance.
There is no 'there' there.
They are 'burning down your house to cook a steak.'
The emperor has no clothes.
There are many more ways to say it, but as truly unbelievable as my mind keeps insisting it is, these people are just plain-jane morons.
3 replies →
> people who own mines, oil wells, farms, etc.
Huge swaths of midwestern farmers will go bankrupt if tariffs are imposed. Subsidies and exemptions are being specifically added to prevent the complete collapse of multiple red state economies due to the harm from the tariffs.
Even things like oil and mines aren't guaranteed safe, because of complexities around where refineries are, loss of export market, or weakness of dollar offsetting any nominal gains when looking at actual purchasing power.
Exactly, tariffs may be a wise way to protect parts of your industry that need protection and investment. The Chinese for example have been using this tactic for decades. But you need to choose which sectors to invest in. The way Trump is doing is nothing more than an instant devaluation of the dollar purchasing power.