I have interests in many things which involve products made only in other countries. There is zero chance companies are going to build factories to make these products in the United States: How much will tariffs raise prices? Trump’s economists just revealed their answer : NPR
Some products – like coffee, chocolate and bananas can not be grown in most of the United States and are necessarily imported. These will now increase by 25% in price (at least), leading to high inflation and a recession simultaneously.
Free trade and globalization is dead – it was assassinated by President Trump.
I am disillusioned about everyone and everything right now. Were we lied to about free trade and globalization or are we being lied to about $6 trillion in tariff taxes on Americans? All politicians lie 100% of the time.
The tariffs will likely create a recession, resulting in lower interest rates – which is good for a government lacking fiscal controls – to refinance the $9.2 Trillion in Federal debt that rolls over this year.
But a recession simultaneous with high inflation is not a good combination.
Congress will flip to Democrat domination next year – but the party that ran a senile Presidential candidate and then replaced that candidate with some who had no primary votes and spoke like a drunk is a party that has no answers either.
If it creates more jobs in the U.S., it does so amid historically low unemployment simultaneously with a labor shortage. That makes sense?
