Explain to me how a 25% tariff on German cars made in Mexico and sold in the United States is not a tax on the German company.
If Audi raises the price of their cars by 25% to get around paying the tariff you are under no obligation to by an Audi. Buy a Toyota built in Tennesse. Why is there a Toyota factory in Tennessee? Because of tariffs.
Tariffs are a negotiating tactic and a means to an end.
German automakers built factories in Mexico for the express purpose of avoiding tariffs. Now they will pay the tariff or they will have to close the factories or build new ones in the US.
In this hypothetical, does Toyota raise their prices? Why or why not?
lol dumb@ss the foreign country eats the tariff and we get to profits back! It’s as simple as that. We’re getting our money back when Trump sends us all monthly stimulus checks in the mail! Isn’t it great?!?
germans build cars in mexico (and the US) for a lot of reasons. Not just tariffs. German unions are tough, supply chains are built here, labor is cheaper in Mex, it's often good to make things near your customers, etc.
and you keep neglecting two things:
1/ US car makers, the few cars they can sell without tariffed parts, will rise in price to match the german cars. I mean why not?
2/ the parts have tariffs. not just completed cars. Focus on that as hard as you can.
You're missing the entire point.
Exploiting 3rd world labor for cheap goods has destroyed the middle class despite your idiotic per capita income argument.
The point of the tariffs is to bring those supply chains back to the US or to negotiate mutually beneficial deals rather than sacrifice our future.
the middle class has not been destroyed. It has moved up to the upper middle class. Do a little reading on this. It's fascinating and will change your views. Google 'myth of the lost middle class.'
If you think America will get rich making low margin things...1950 called and wants its economics textbook back. No country gets rich making low margin things anymore. It's a race to the bottom and protectionism will not help - it will just let us make crappier things and take our brainpower away from the industries that actually will make us rich.
US-style car companies have maybe a single digit margin. Our tech companies have a 50% or more margin.
Of course our mad king is choosing the wrong industry to support.
In this hypothetical, does Toyota raise their prices? Why or why not?
lol dumb@ss the foreign country eats the tariff and we get to profits back! It’s as simple as that. We’re getting our money back when Trump sends us all monthly stimulus checks in the mail! Isn’t it great?!?
Damn right Matt!
And Trump knows that any trade imbalance means you are subsidizing and bailing out a country out. And that without your help the country is a failed loser nation. Pathetic garbage that would be a cherished 51st state. Even though we need nothing from them.
Nobody cares what these fancy economists have to say. Trump is the best source for economic wisdom!
Exploiting 3rd world labor for cheap goods has destroyed the middle class despite your idiotic per capita income argument.
The point of the tariffs is to bring those supply chains back to the US or to negotiate mutually beneficial deals rather than sacrifice our future.
the middle class has not been destroyed. It has moved up to the upper middle class. Do a little reading on this. It's fascinating and will change your views. Google 'myth of the lost middle class.'
If you think America will get rich making low margin things...1950 called and wants its economics textbook back. No country gets rich making low margin things anymore. It's a race to the bottom and protectionism will not help - it will just let us make crappier things and take our brainpower away from the industries that actually will make us rich.
US-style car companies have maybe a single digit margin. Our tech companies have a 50% or more margin.
Of course our mad king is choosing the wrong industry to support.
Those care companies provided good work and pay before they were destroyed by the woke tech companies and Obummer. We need a return to the 50s so everyone knows there place and this country actually followed Jesus
Exploiting 3rd world labor for cheap goods has destroyed the middle class despite your idiotic per capita income argument.
The point of the tariffs is to bring those supply chains back to the US or to negotiate mutually beneficial deals rather than sacrifice our future.
the middle class has not been destroyed. It has moved up to the upper middle class. Do a little reading on this. It's fascinating and will change your views. Google 'myth of the lost middle class.'
If you think America will get rich making low margin things...1950 called and wants its economics textbook back. No country gets rich making low margin things anymore. It's a race to the bottom and protectionism will not help - it will just let us make crappier things and take our brainpower away from the industries that actually will make us rich.
US-style car companies have maybe a single digit margin. Our tech companies have a 50% or more margin.
Of course our mad king is choosing the wrong industry to support.
Repeating idiotic theories doesn't make them any less idiotic.
The single income family isn't a thing anymore. It used to be the norm.
You can deny this because you don't understand what per capita means but you're still wrong.
Tech companies have large margins because they're exploiting slave labor in the 3rd world. That's short term benefit which will lead to crisis.
We just found out what happens when your entire supply chain gets turned off because it's all based in a foreign country.
the middle class has not been destroyed. It has moved up to the upper middle class. Do a little reading on this. It's fascinating and will change your views. Google 'myth of the lost middle class.'
If you think America will get rich making low margin things...1950 called and wants its economics textbook back. No country gets rich making low margin things anymore. It's a race to the bottom and protectionism will not help - it will just let us make crappier things and take our brainpower away from the industries that actually will make us rich.
US-style car companies have maybe a single digit margin. Our tech companies have a 50% or more margin.
Of course our mad king is choosing the wrong industry to support.
Repeating idiotic theories doesn't make them any less idiotic.
The single income family isn't a thing anymore. It used to be the norm.
You can deny this because you don't understand what per capita means but you're still wrong.
Tech companies have large margins because they're exploiting slave labor in the 3rd world. That's short term benefit which will lead to crisis.
We just found out what happens when your entire supply chain gets turned off because it's all based in a foreign country.
if anyone wants to live like people lived in the 1950s did on one average salary...no problem, man. Just ditch the technology, the flying vacation, the TV, the cable, the internet, get one car if any, etc. Ditch the credit card and pay cash for everything. No worries at all. Buy a 1000 sq ft home like people used to have, live poorly like 1950s people did and you can do it.
Americans today want to live like rich people even if they can't afford it. that's what makes people feel squeezed.
the middle class has not been destroyed. It has moved up to the upper middle class. Do a little reading on this. It's fascinating and will change your views. Google 'myth of the lost middle class.'
If you think America will get rich making low margin things...1950 called and wants its economics textbook back. No country gets rich making low margin things anymore. It's a race to the bottom and protectionism will not help - it will just let us make crappier things and take our brainpower away from the industries that actually will make us rich.
US-style car companies have maybe a single digit margin. Our tech companies have a 50% or more margin.
Of course our mad king is choosing the wrong industry to support.
Repeating idiotic theories doesn't make them any less idiotic.
The single income family isn't a thing anymore. It used to be the norm.
You can deny this because you don't understand what per capita means but you're still wrong.
Tech companies have large margins because they're exploiting slave labor in the 3rd world. That's short term benefit which will lead to crisis.
We just found out what happens when your entire supply chain gets turned off because it's all based in a foreign country.
Single income families were the norm for 50-100 years of human history when the welfare state was at its peak.
Very few families subsided on the work of one individual before the 20th century.
Repeating idiotic theories doesn't make them any less idiotic.
The single income family isn't a thing anymore. It used to be the norm.
You can deny this because you don't understand what per capita means but you're still wrong.
Tech companies have large margins because they're exploiting slave labor in the 3rd world. That's short term benefit which will lead to crisis.
We just found out what happens when your entire supply chain gets turned off because it's all based in a foreign country.
if anyone wants to live like people lived in the 1950s did on one average salary...no problem, man. Just ditch the technology, the flying vacation, the TV, the cable, the internet, get one car if any, etc. Ditch the credit card and pay cash for everything. No worries at all. Buy a 1000 sq ft home like people used to have, live poorly like 1950s people did and you can do it.
Americans today want to live like rich people even if they can't afford it. that's what makes people feel squeezed.
They had more disposable income and that income went farther.
Paying for more utilities with less money isn't the win you think it is.
if anyone wants to live like people lived in the 1950s did on one average salary...no problem, man. Just ditch the technology, the flying vacation, the TV, the cable, the internet, get one car if any, etc. Ditch the credit card and pay cash for everything. No worries at all. Buy a 1000 sq ft home like people used to have, live poorly like 1950s people did and you can do it.
Americans today want to live like rich people even if they can't afford it. that's what makes people feel squeezed.
They had more disposable income and that income went farther.
Paying for more utilities with less money isn't the win you think it is.
that's absurd. 1950s middle class americans lived how we consider poor people live today.
we used to spend almost 20% of our income on food alone. That's down to 10% and would be far less for someone who doesn't eat out much. that alone has freed up enormous amounts of income for whatever we want.
I have no patience for people who somehow believe we have become poorer over 50-70 years. That's completely crazy. Just look around you. Unless you live in a typical deep red Republican state, then maybe things aren't so great, I'll grant you that.
This post was edited 8 minutes after it was posted.
Single income families were the norm for 50-100 years of human history when the welfare state was at its peak.
Very few families subsided on the work of one individual before the 20th century.
*subsisted
yeah and I'd also say that 30 years of American sitcoms somehow made us think a single income family was normal and standard. It wasn't. Women have always worked far more than TV shows represent.
the middle class has not been destroyed. It has moved up to the upper middle class. Do a little reading on this. It's fascinating and will change your views. Google 'myth of the lost middle class.'
If you think America will get rich making low margin things...1950 called and wants its economics textbook back. No country gets rich making low margin things anymore. It's a race to the bottom and protectionism will not help - it will just let us make crappier things and take our brainpower away from the industries that actually will make us rich.
US-style car companies have maybe a single digit margin. Our tech companies have a 50% or more margin.
Of course our mad king is choosing the wrong industry to support.
Those care companies provided good work and pay before they were destroyed by the woke tech companies and Obummer. We need a return to the 50s so everyone knows there place and this country actually followed Jesus
this is average house size. It explains a lot of why housing is so expensive. People refuse to live in the size houses their grandparents lived in.
And it's doubly impactful because of course even as house size has doubled...family size has shrunk. The 'square feet per person' has gone through the roof, which is very expensive. By choice.
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