Summary
Despite a temporary pause on some tariffs, economists warn Trump’s trade war continues to pose serious risks to the U.S. economy.
Current import taxes now exceed levels seen during the 1930s Great Depression. A Yale analysis estimates a $2.4 trillion tax increase over 10 years, costing households $4,400 more.
Tariffs on Chinese imports have reached 145%, driving up prices and investor anxiety. Markets briefly surged after Trump’s announcement but quickly fell again.
Critics highlight Trump’s deep misunderstanding of trade mechanics and fear long-term economic damage from persistent uncertainty.
May?
The world‘s lost confidence in the US economy. Failure is inevitable.
I mean, even if Trump 180’s and/or they remove him,
Damage has already been done.
US proved they don’t have any protections/stopgaps/mechanisms/checks/balances in place and can just throw out trade agreements on a whim.
At any point, any person can take the president office and just upend everything at will.
The US government, as structured right now, is untrustworthy on the Global Stage. Their so called constitution / supreme court / congress / senate system has failed.
They ignored the UN / UN Security Council / Global Order in 2001 and invaded Iraq anyway. That opened the door for everyone else to arm up, and do their own thing now. US wasn’t going to respect that social contract, now no one else is either.
Now the US has upended Global Trade and shown they can’t be trusted in that either.
No one is putting their eggs in that basket anymore. The amount of reputational damage is unquantifiable.,
Trump has exposed the severe cracks in the American legal system.
We’re sliding into “just another trading nation” with the bonus of “after having pissed everyone else off” vs the succulent tree we used to be. Top that off with a decade of slow-developing industrial infrastructure, and many of us will be eating cabbage stew. I best most of the people who voted MAGA are gonna be mighty angry once their next pair of shoes costs 50%+.
I’m under the impression that we can expect Bonds to be safe for investments in a couple of years, though? Once Stagflation sets in, that is.
I don’t think long-term US bonds are a good play right now at all, tbh.
Not right now, for sure. I mean in a few years.
Sort of? Bonds will be safer, however it also is incredibly dependent on the forward inflation. The flation part of stagflation. If inflation outstrips your bond’s interest, you’re still losing money. So bonds are way safer than other assets, but sadly in this kind of a situation not really safe either.
Is this a war of attrition scenario? Which boat sinks slower?
That’s not a bad way to put it. Yes, and bonds will sink slower. It just still will sink. I mean, if I were investing at all, it’d be in bonds. However, I’m not going to pretend it’s safe either.
Don’t trust bonds. Buy physical gold. Save it somewhere secure.
I see it as only a matter of time before the world moves away from the USD standard to the Euro.
To that end, I’ve opened a European bank account and have begun depositing cash in euro denominations for when (not if) I eventually need to get the fuck out of here.
Where and how did you open bank account in Europe? I tried this but they refused to create a bank account saying I need to be there.
Which bank was it?
There is an international no-brick-and-mortar bank called Wise that will let you do that and convert your deposits to other currencies within your accounts. I dug into them a bit a few days ago; they appear to be an established player and, afaict, legit.
Trump’s just following Putin’s orders.
That’s what MAGA voted for, after all.
Lmao at that photo
Dude is having a stroke
Car Aimed at Cliff and Driving at 90mp/h Instead of 120mp/h May Still Drive Off Cliff.
