Tariffs and Potential Inflation

[thebestusernamesaretaken]

CPI index aka inflation - the goal is 2%

https://www.bls.gov/news.release/cpi.t02.htm

 

[SAJ-99]

Maybe banking on some cheap Ukraine grain from their business partner?

Brazil dominates China soybean, corn imports in 2023: customs

 

[SAJ-99]

Doesn’t matter, it’s been paid back and then some with inflation.

...says the same guy who posts the debt clock on every thread.

 

[noharleyyet]

Brazil dominates China soybean, corn imports in 2023: customs

You get the gist...

 

[SAJ-99]

You get the gist...

Maybe we will stop subsidizing ag? Although I hear Georgia lost over $1b in timber due to Helene and they would like some help. Government bad...unless you get a check.

 

[Nick87]

Maybe we will stop subsidizing ag?

Yes.

 

[noharleyyet]

Maybe we will stop subsidizing ag? Although I hear Georgia lost over $1b in timber due to Helene and they would like some help. Government bad...unless you get a check.

We won't, but hell yea, send me a check anyway, I'll even remove the yard sign.

 

[thebestusernamesaretaken]

What did you spend your stimulus check on?

Some folks didn't get a stimulus check but had customers who did. I promise you that the folks who got those checks spent the money stimulating the economy. I can't say the same for the folks I know who got a tax break.

 

[SAJ-99]

I know who I would put my money on...

Trump’s Impossible Task: Delivering for the Working Class and Billionaires

He’s attempting to pull off plutocratic populism, but the math doesn’t square.

www.bloomberg.com

 

[thebestusernamesaretaken]

Regulations from the EPA cost more than tariffs. That is why it went offshore.

Funny (and unrelated), antidote about the EPA from the early days: my uncle owned an automotive garage and sold used cars; we'll call it Franks Automotive. He had to find a new location in the 1980s (someone burnt down the old location), so he purchased an old gas station with four bays and a parking lot in the center of town. It was a great location for a small town and he could display just the right number of cars for sale (that's the number that you could display and sale without purchasing one of those pesky dealer licenses), and he had four bays to work out of. He would store the remaining cars on the front lawn of his home where everyone knew that they could go see Frank for cars. If you can't tell by now, Uncle Frank hated government regulation.

My uncle was complaining then that the EPA was charging fees ($2,000 annual), to use his in ground gas tanks (insurance). So, he decided not to sell gas until this "whole EPA thing blew over". You know he's still waiting.

 

[noharleyyet]

I know who I would put my money on...

Trump’s Impossible Task: Delivering for the Working Class and Billionaires

He’s attempting to pull off plutocratic populism, but the math doesn’t square.

www.bloomberg.com

You realize that was trite campaign jargon 3 weeks ago....

 

[thebestusernamesaretaken]

Donald does have an uphill battle. It's going to interesting to see how he spins this.

The states that support him the most are going to want some concessions. Those happen to be the same states that already create the majority of the federal deficit. Many of these States receive far more federal subsidies than they return to the country in the form of taxes. He's told folks that he can cut taxes without growing the deficit by implementing tariffs.

There won't be enough tariff's to make up for the potential increase in spend & the loss of tax revenue. A large portion of folks in America pay little to no taxes already (think impoverished or wealthily with shelters). The middle is squeezed.

I expect that some services would have to be cut (like social security and medicare). Those tariffs' would impact consumers pricing giving them a double whammy. https://rockinst.org/issue-areas/fiscal-analysis/balance-of-payments-portal/