Tariffs Catch-All

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nycfan said:




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No environmental delays, just dump your waste and other shit in the trash, global warming is a hoax and we fired the EPA and OSHA.

It's ok if everyone downstream dies just hire from upstream, we have plenty of people. And with my new abortion regulations and child bearing minimums we'll keep pumping out dumb, under educated workers for your factories in the future.
 
This is a good thread to read about how Main St is not going to benefit at all. IF any US manufacturing comes back, it won't be benefiting most small businesses that are operating now. Most will be done by the time factories are in place.



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ZenMode said:
"he thinks a world of tariffs and trade wars will finally be where he proves his true genius"

I disagree. I agree that he's a narcissist and I'll add that he's an egomaniac. He could have very easily done his threatening behind the scenes, gotten countries to decrease their tariffs and announced his victory after the fact. That's not how Trump works because he's a narcissistic, egomaniac who has to let the world know that he's in charge with his press conferences and idiotic fucking posterboard.... like he's a high school student giving a presentation in economics class.

If the tariffs are in place 6 months from now, I'll be surprised.
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If they are in place in six months you will be bankrupt, not surprised, as we all will be.
 
bassydude77 said:
I understand that the stock market doesn't necessarily always reflect the true state of the economy (what most people experience on a daily basis), but every time the market tanks and a recession ensues...main street suffers immensely. This idea that they are doing this for Main St is competely ridiculous. The goal with tariffs is to cut income and capital gains tax rates, nothing else. Just pass on the tariffs to consumers, no biggie, right.
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Reading the small business reddit, like I just started doing, shows how everything from mom and pop stores to trades people are utterly fucked.
 
lawtig02 said:
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In fairness, how many of those people voted for Trump? And it's also true that nobody saw 104% tariffs coming. Yes, electing a madman who in his prime was merely an idiot was a terrible, terrible idea, but still -- 104% tariffs are something else.

I feel bad for these small business owners getting crushed, even if they were Trump voters.
 
rodoheel said:
As many people have pointed out, the problem with this logic is that no company in its right mind is going to invest billions in US manufacturing when the success of that manufacturing is dependent on tariffs which Trump has constantly said are negotiable and therefore may be changed at any moment. You have to believe those tariffs will still be there in 3 years when you're finally ready to ramp up production.
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You also have to believe that the next presidential administration won't just tear them up and go back to the way things were.
 
GoHeelsweeeehoooo said:
I was thinking about upgrading my cell phone in the fall - are they going to be outrageously expensive by then?
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I would upgrade today, but for all i know they already jacked up prices under the guise of tariffs, though the current supply likely had none of the tariffs that went into effect today applied to them. they will eek out profit where they can.
 
superrific said:
In fairness, how many of those people voted for Trump? And it's also true that nobody saw 104% tariffs coming. Yes, electing a madman who in his prime was merely an idiot was a terrible, terrible idea, but still -- 104% tariffs are something else.

I feel bad for these small business owners getting crushed, even if they were Trump voters.
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I do recognize there are a lot of people being crushed by this who did not vote for Trump and I have immense sympathy for them. I just can't feel the same way about Trump voters. Maybe this is worse than what they were expecting, but that's what you get when you throw your lot in with an economic terrorist.
 
Rock said:
Assume another day of start green, end red.
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No, they just figured out he's an oracle of all knowing stable genius and they just have to listen to him. We should be back to previous highs in no less than 45 years.
 
Can someone explain something to me -- and maybe I need a new thread. Why are distributors taking markups on tariffs?

The value-added by the distributor hasn't changed. If they were adding $20 in value to a $100 product, they are still adding $20 in value for the $150 product. Why should their fee increase by 50% just because the price went up?

This is a way of asking, why do so many businesses accept multiplicative profit margins? I mean, it's a little bit like tipping waiters -- why would you tip the waiter 40% more for the same work just because the food on the plate is being charged more? In practice I tend to accept because why bother fighting (and I suppose this could be the answer above, though it seems like more is at stake there), though I tend to tip higher % at low-end restaurants and less % at higher-end ones.
 
superrific said:
Can someone explain something to me -- and maybe I need a new thread. Why are distributors taking markups on tariffs?

The value-added by the distributor hasn't changed. If they were adding $20 in value to a $100 product, they are still adding $20 in value for the $150 product. Why should their fee increase by 50% just because the price went up?

This is a way of asking, why do so many businesses accept multiplicative profit margins? I mean, it's a little bit like tipping waiters -- why would you tip the waiter 40% more for the same work just because the food on the plate is being charged more? In practice I tend to accept because why bother fighting (and I suppose this could be the answer above, though it seems like more is at stake there), though I tend to tip higher % at low-end restaurants and less % at higher-end ones.
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There's no defensible explanation for it, but it's a great example of the compounding impacts of tariffs, which, as you note, operate much like inflation. It's one of the many, many reasons every credible economist thinks what Trump is doing is bat shit crazy. Price fuckery tends to set off doom spirals.
 
UNCatTech said:
Yea because every good electrical know you can run a factory off of a Griswald power outlet.


No need for transformers, switchgear, or other electrical control components for that 480v 20000 amp service.
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Right. Trump apparently thinks a factory in Shenzhen can be loaded on a Panamax, along with all its employees, and moved across the ocean to plug into the electrical grid and sewer system in Ogden, Utah.

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